MGEC34H3 Lecture 10: EcmC34 Lecture 10.doc

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Physician knows more about math problems than you as a patient more common way physicians are paid = fee for service for each service provided, you get a fee. Occurs when physicians in a fee for service pay system, prescribe unnecessary service their income. Usually occurs only in a fee for service pay system. Small area variation imperfect info regarding how to treat something. Variation in treatment regarding how to treat something. Variation in treatment patterns arise because of differences among physicians in terms of the best way to treat them.

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