In the medical care sector the decisions of what services


In the medical care sector, the decisions of what services should be produced, how they should be produced, how they should be distributed, and how to allow for growth and innovation must be made.

a) What combination of non-medical and medical goods and services should be produced in the macro-economy?

b) What particular medical goods and services should be produced in the health economy?

c) What specific health care resources should be used to produce the final medical goods and services?

d) Who should receive the medical goods and services?

For the above questions, how are these decisions currently being made? What are the various purposes that prices serve?

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