Insurance tends to drive up health care costs by encouraging greater use of health care resources. Why has this occurred in the United States but not in Canada or the United Kingdom?
A. There is no health care insurance in Canada or the United Kingdom.
B. Canada and the United Kingdom use nonprice rationing to contain costs.
C. Canada and the United Kingdom have better health care technology that allows them to
achieve lower costs than the United States.
D. Only private insurance creates an incentive to overuse health care resources.
Answer: B
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