An article in the Wall Street Journal reports that “some hospitals charge up to 10 times as much as others for standard medical scans.” The article also notes: “Health economists say the disparities reveal how little influence consumers have over pricing, unlike markets for groceries or airlines, where companies vie for business by offering good deals.”

What are the key differences between the market for MRI scans and the market for airline tickets? How do these differences affect the willingness of hospitals and clinics to compete by offering consumers the lowest price for an MRI scan?