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The government wants to make Medicare benefits available to more people, but to achieve this goal, it needs to make cuts in the existing Medicare budget. The two areas where they are considering cuts are non-essential elective surgery and 6-12 month mental health care programs. Applying the concepts of diminishing marginal utility, the budget cuts should be made for spending on:
Elective surgery due to its lower marginal return rates
Mental health therapy due to its higher marginal return rate
Both programs, which have the same marginal return rate
Neither can be compared by measuring marginal utility
Assume that at this time in the nation of Economic when families split up there are no required child support payments.
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What did you add more specifics and associated reasons why you decided to recommend the course of action you selected and how you believe the course of action you selected might best be carried out.
Assume to you live in a simple economy in that only three goods are produced also traded: fish, fruit also meat. Illustrate what additional information might you require constructing your measure?
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