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Some healthcare economist hypothesize that nurse practitioners and physician assistance can be considered as substitutes in providing many types of medical care. One hospitals make
Some healthcare economist hypothesize that nurse practitioners and physician assistance can be considered as substitutes in providing many types of medical care. One hospitals make hiring decision the price they have to pay for a new nurse practitioner versus a new physician assistant is one of the deciding factors. If physician assistance salaries have grown substantially during the last six months, while there has been no change in the nurse practitioners salaries, what would happen in the market for nurse practitioners services if the hypothesis is followed? A. Supply of nurse practitioners to hospitals will increase B. Supply of nurse practitioners to hospitals will decrease C. Hospitals demand for nurse practitioners will increase D. Hospitals demand for nurse practitioners will decrease E. The increase in the salaries of physician assistance should have no effect on hospitals demand for supply of nurse Practitioners services
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