Which of the following does NOT account for the rise in the cost of health care ?
Correct answer: C. Classical rules that govern marketplace exchanges have been applied to the health care industry for decades
- A. The continual upgrading in the scope and intensity of medical services is costly
- B. Labor costs have risen sharply
- C. Classical rules that govern marketplace exchanges have been applied to the health care industry for decades
- D. The concept of "health" has been expanded to include mental and psychological difficulties and "condition" such as infertility
Explanation
Rising labour costs, increasingly intensive medical services and the broader definition of health all raise healthcare expenditure. Applying classical marketplace rules is not generally identified as a cause of the continuing rise in healthcare costs.
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