Homework SourseWhen medical fee schedules are negotiated by two monopolists
When medical fee schedules are negotiated by two monopolists—one representing patients and one representing providers—the equilibrium medical fees will
When medical fee schedules are negotiated by two monopolists—one representing patients and one representing providers—the equilibrium medical fees will
Solution
Solution: When two monopolists (one representing patients and one representing providers) are negotiating the medical fee schedules, the equilibrium medical fees to b charged will largely depend on the relative bargaining strengths of the two monopolists negotiating the fee schedule. Negotiation power is the ability to influence the behavior of another by the negotiator.
