Description
Pick one of the healthcare entities listed below and assume you were just hired as a healthcare manager. Please be sure to use title headers in your paper corresponding to the three areas below. Using what you have learned so far about demand theory write a 4 to 5-page report (double-spaced) addressing the following questions:
- (a) Describe the demand curve for the services you provide and (b) the sensitivity of the demand for your services to changes in its price? (e.g. elastic, inelastic) (c) Explain why.
- Include a discussion of the implications of health insurance coverage for your services provided.
- (a) Identify potential substitutes and complements for your services and (b) their impact on the demand curve.
- Explain the factors that might lead to a shift in the demand curve for your service.
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Explanation & Answer
Attached.
Running Head: HEALTHCARE ECONOMICS
Healthcare Economics
Name
Instructor
Institutional Affiliation
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HEALTHCARE ECONOMICS
Introduction
Health care is one of the most essential and critical services in any given context since the
health and well-being of individuals are determined by the level of health care system of a
country. Many countries across the globe invest a considerable amount of money in their health
care system to enhance the health and well-being of its citizens. In the United States, the federal
government invests a bigger percentage of its total budget on healthcare. This is in a bid to
ensure that American citizens are accorded efficient healthcare at minimum costs. It is
imperative to understand that one in every seven dollars spent in the U.S is spent on healthcare
which means that healthcare takes a greater percentage of the country investment. Investing in
health care by the federal government is justified in the sense that a healthy nation is a
productive nation (Ambulatory Surgery Center Association, 2013). For the country to have a
productive workforce, the federal government must step up their investment in healthcare to
ensure that every American can access quality and affordable healthcare.
Demand for ambulatory surgery center
Ambulatory surgery center commonly known as outpatient surgery center or same day
surgery center are typically healthcare facilities that offer same day surgical procedures to
patients thus do not require an overnight hospital stay. Such surgery services are often less
complicated as compared to that requiring hospitalization. The demand for ambulatory surgery
center has been on the increase in the U.S as more surgical procedures shifts to outpatient
settings as the medical technologies become revolutionized (Chukmaitov, Menachemi, Brown,
Saunders & Brooks, 2008). The increase in demand for ambulatory surgery center has also been
attributed to the fact that ambulatory surgery center is less expensive as compared to
HEALTHCARE ECONOMICS
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hospitalization and this means that many Americans will save cost when ...