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Suppose Emma's demand for medical care in any year is q = 52 p where p is the price of a visit to the doctor's
Suppose Emma's demand for medical care in any year is q = 52 p where p is the price of a visit to the doctor's ofce. Her doctor charges $100 per ofce visit. a. If Emma pays full price for medical care, how many ofce visits will she make in a year? I). If she has insurance that requires a $20 copayment for each ofce visit, how many times will Emma visit her doctor? 0. Would is the impact of health insurance on Emma's demand for medical care? deadweight loss? 0!. What do your results in 6) suggest about the optimal design of health insurance? 6. Suppose Emma becomes diabetic. How might her demand for medical care change? i. ? Write an equation that would represent her demand and explain the critical feature of the demand equation
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