Suppose that the following table represents the total benefit Mary receives (the total amount she is willing to pay) for doctors visits per year:

Number of Doctor's visits

Total Benefit

1 $ 120

2 $ 210

3 $ 270

4 $ 300

5 $ 300

1:Graph Mary's demand curve for doctors' appointments. Insert picture of your graph using the "Insert Stuff" button (do notuse the "add a file" option).

2:Suppose the Manitoba Government implemented a user fee for doctor's visits of $50 per visit.How many times would Mary visit the doctor per year.

3:Calculate what would Mary's consumer surplus be at a price of $50 per doctor's visit?

Question 3 options:

4:Show how you calculated the consumer surplus.

5:The above demand curve assumes that Mary's demand for doctors visits are based on her preferences and reflects the benefit she receives from healthcare.What assumption of the neoclassical or "textbook" model of consumer behavior is likely to be violated in the case of healthcare?

6:Why might implementing a user fee cost the Manitoba government more in the long run?