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The market demand for medical checkups per day, QF, is QF = 25(250 - pF), where pF represents the price of a checkup. The market
The market demand for medical checkups per day, QF, is QF = 25(250 - pF), where pF represents the price of a checkup. The market demand for the number of dental checkups per day, QT, is QT = 40(100 - pT), where pT represents the price of a dental checkup. The market supply of medical checkups is QF = 50pF 5pT- The market supply of dentists is QT = 40PT 20pF. The supplies are linked because people decide whether to be doctors and dentists on the basis of relative earnings, The quantity supplied of medical checkups depends on the price of dental checkups. What does the supply function property imply about the effect of price changes? As pF increases, more people become doctors and fewer people become dentists, Similarly, as pT increases, fewer people become doctors and more people become dentists. What are the equilibrium prices? (Enter numeric all responses using real numbers rounded to two decimal places.) The equilibrium prices are $ 88.14 for medical checkups and $ 72.03 for dental checkups. Suppose that, instead of determining the price of medical checkups by a market process, large health insurance companies set their reimbursement rates, effectively determining the prices. A medical doctor receives $35.00 per checkup from the insurance company, and patients pay only $10.00. How many checkups do doctors offer? What are the equi ibrium quantity and price of dental checkups? Doctors supply checkups, the equilibrium price of dental checkups is $ , and the equilibrium quantity of dental checkups is
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