Growth in national health spending closely tracked growth in nominal gross domestic product (GDP) in 2010 and 2011, and health spending as a share of GDP remained stable from 2009 through 2011, at 17.9 percent (Micah et al., 2011).
Based on the above information, answer the following questions:
- Define the economic principle of opportunity cost.
- Locate current GDP expenditures and express the percentages in a graph or a chart.
- Explain whether spending 17.9% of GDP is too much or too little to spend on healthcare.
- Defend your position using the concept of opportunity cost and highlight specific GDP expenditures that are impacted by healthcare expenditure (opportunity cost).