a. What is meant by physician-induced demand?

b. Specifically which stylized facts about physicians' services markets do PID attempt to explain?

c. What empirical evidence has been used to support the PID hypothesis?

d. What would be the consequences of an increase in physician supply on the price of physician services, the quantity of physician visits, and total physician expenditures according to the PID hypothesis? How would these predictions differ from those of a conventional economic model of physician behavior?