Private pay patients have price elasticity of demand

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a. Private pay patients have a price elasticity of demand of -3. What do you charge them? b. The union has negotiated a fee of $50. Is it profitable to treat members of the union? c. What would happen to your profits if you stopped treating members of the union? d. If the union negotiated a fee of $45 instead, what would you charge for private pay patients? e. What does this tell you about cost shifting versus price discrimination?

Reference no: EM131093013

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