In economics, supplier induced demand (SID) may occur when asymmetry of information exists between supplier and consumer. The supplier can use superior information to encourage an individual to demand a greater quantity of the good or service they supply than the pareto efficient level, should asymmetric information not exist. The result of this is a welfare loss.
Read more about Supplier Induced Demand: Health Economics, Theories To Explain Supplier Induced Demand, Variations in Care and SID, New Technology and Overutilization in Supplier Induced Demand, Ethical Concerns of SID, The Economics Around Healthcare Reform, See Also
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