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For your first assignment, think carefully about these assumptions required for a perfectly competitive market. Does health care fit this model? Are there some areas of health care that fit the model better than others? Pick one area in health care that you think basically fits the model assumptions necessary for a perfectly competitive market and describe that area. Then pick an area in health care where the model doesn’t fit. Describe and contrast these two areas. Do you think that the area that doesn’t fit the competitive market can be modified in some way so that it better fits the competitive market framework? Describe how this could be done.
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