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I still don't get how the correct answer choice HAS to be true. how do we know that the costs of cataracts surgery today is decreasing?
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I still don't get how the correct answer choice HAS to be true. how do we know that the costs of cataracts surgery today is decreasing?
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You don't know if it is continuing to decrease today. You know that it has decreased, however because the stimulus says so. Thus, the situation we have is: Cheaper price of surgery-->More people getting the surgery-->Higher costs overall. How can this be? The cost of surgery must offset the savings generated by the reduction in the price of surgery.