ECON 150C1 Lecture Notes - Lecture 17: Medical Debt, Copayment, Circle Health Ltd
2 Nov 2017
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Econ 150c1 lecture 17 notes- health care: part one. Conventional theory: tools for understanding health care: health care providers: public, veteran"s administration, state and county hospitals, government clinics. Indian health service: health care providers: private, bmi healthcare, spire healthcare, circle health, a market experiment, part a. Objective: maximize your profit- you can"t sell something lower than your willingness to sell. Objective: maximize your benefit- you can"t buy something higher than your willingness to pay. New: a third party pays half the price for you. Please double the max amount you are willing to pay. Since their costs will be higher, premium prices will be higher and this will drive healthy people out of the market for insurance: solution: identify different groups of people and charge accordingly and/or refuse coverage for pre-existing conditions. Or, require coverage for pre-existing conditions but also mandate health coverage for all.
