Suppose a certain pharmaceutical drug has only one use: It is 100 percent effective at saving the

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Suppose a certain pharmaceutical drug has only one use: It is 100 percent effective at saving the life of someone afflicted with a certain rare disease. Given its effectiveness, patients who need it would purchase the drug even if its price increased dramatically. What are the efficiency implications of providing this drug to patients through a third-party payer?NDDF7

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Public Finance

ISBN: 9780071267885

9th International Edition

Authors: Harvey S Rosen, Ted Gayer

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