HMGT 435 UMGC Conditions for Price Discrimination Discussion

Respond to the question assigned to you. Include the question at the beginning of your post. Then respond to the initial post of two other students. Ask probing questions. Always include citations and references in correct APA format. Ensure you reply to any follow-up questions by the professor.

1. In this week’s readings the Health Affairs article on Proposed Payer Mergers, what does the article say will happen to the commercial insurance market in insurers are allowed to merge?
2. What conditions must exist for a firm to be able to price discriminate?
3. What is the Herfindahl Index?
4. What factors allow a firm to have monopoly profits?
5. What are the pros and cons of merger activity? Why would the government want to prevent mergers?
6. What are the characteristics of monopolistic competition?
7. Why is understanding market structure important in health economics, what does it impact?
8. What is a Nash Equilibrium?

Assigned Question:
Martin, Beverly Question #2