Consider Figure 13-3. Are these long run average cost curves (LRAC)? What accounts for the nonprofit advantage? Explain why it is often claimed that hospitals compete for doctors rather than...

Consider Figure 13-3. Are these long run average cost

curves (LRAC)? What accounts for the nonprofit advantage?

Explain why it is often claimed that hospitals compete for

doctors rather than patients. What are some of the implications of this phenomenon, assuming that it is true?