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Four common bases of payment for physicians are salary, fee for service, fee per case, and capitation. Describe the effect of each payment basis on output. Discuss studies that have examined the relative costs and benefits of each payment system in Canada.
q1. by now weve all had the opportunity to read the entire text book and understand how free markets i.e. capitalism
Suppose a country has a money demand function (M/P)^d = kY, where k is a constant parameter. The money supply grows by 12% per year, and real income grows by 4% per year. What is the average inflation rate? How would inflation be different if real in..
How can large companies afford to lower the price of goods in a competitive market? A company’s ability to raise its price without losing its entire market is an example of market power. One of the most important of these is economies of scale. • How..
Suppose a firm has a warehouse that they originally purchased for $500,000. They have a project that they determine would be acceptable if the costs for the warehouse were at most $1,500,000. The firm has determined the market price for the warehouse..
An employer faces two types of employees. Regular workers are 70% of the population and generate $100,000 in productivity. Exceptional workers are 30% of the population, and generate $120,000 in productivity. Employees know their types, and reject sa..
Construct a representative indifference curve for each of the following situations. (Note: Even though some of the goods described exist only in discrete quantities, draw the IC assuming the goods exist in continuous quantities). The two goods are wa..
What is the marginal opportunity cost of producing the second unit of clothing? What is the total opportunity cost of producing the second unit of clothing? What is the marginal opportunity cost of producing the third unit of clothing? What is the to..
Explain what will the total decrease in aggregate demand be as a result of the initial $12 billion decrease.
Elucidate how the law of diminishing returns influences the shapes of the variable-cost and total-cost curves.
Consider two manufacturers, Each makes a product. The two products are partial substitutes. Priced at p_t, product i receives a demand q_1 = 15 - 2 p_1 + p_2 and q_2 = 15 - 2 p_2 + p_1. It costs $5 to produce a unit of product 1 and $10 to produce a ..
Give two examples of actions taken by a company, government, or organization whose effect is to prevent specific markets from reaching equilibrium. What evidence of excess supply or excess demand can you cite in these examples?
Describe ethical considerations with regard to marketing to children. When the marketers' pitch includes a cause component, such as a breakfast cereal that promises to provide breakfasts to undernourished school children, explain whether this is e..
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