Some concierge practices ask patients to pay a retainer fee in addition to a per visit fee. If the per visit fee pays the practice’s marginal costs, what is the retainer doing? In a competitive market, price=marginal cost. Why are patients willing to pay this retainer, assuming the per visit fee=marginal cost?
Wednesday, May 28, 2014
econ review question 15
Some concierge practices ask patients to pay a retainer fee in addition to a per visit fee. If the per visit fee pays the practice’s marginal costs, what is the retainer doing? In a competitive market, price=marginal cost. Why are patients willing to pay this retainer, assuming the per visit fee=marginal cost?
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment