1. In an unregulated market for healthcare, there is
A. a deadweight loss from under-providing healthcare.
B. no deadweight loss.
C. a deadweight loss from over-providing healthcare.
D. Any of the above could be correcting depending on how the marginal cost paid by producers compares to the marginal social cost.
2. For health care, the perceived marginal benefit ________ the marginal social benefit.
A. is equal to
B. is greater than
C. is less than
D. cannot be compared to