a. Assume the supply curve for medical care is positively sl

a. Assume the supply curve for medical care is positively sloped and the demand curve is negatively sloped. Assume also that 20% of the population does not have health insurance. Now a new law is passed that provides health insurance to everyone, including those previously without insurance. As a result, the equilibrium price and quantity of medical care will both rise. b. Now assume the supply curve is horizontal (flat). This will have no effect on the equilibrium price and quantity of..

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