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Economic Thinking

As prices increase, should health economists advocate giving something up (opportunity costs/trade-offs)? As the quantity of health services provided goes up, does the benefit of each additional unit of service become smaller (marginal analysis)? Discuss the issue of health care in the context of the following microeconomic concepts: Marginal analysis Trade-offs Opportunity costs Normative versus positive economics Should this decision be made in a centrally planned economy or a market economy? Is health care a macroeconomic or microeconomic issue? How would this affect production efficiency?

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