Using shifts in supply and demand curves, describe two changes in the industry in which your firm operates. The changes may arise from a change in costs, entry/exit of firms, a change in consumer tastes, a change in the macroeconomy, a change in interest rates, or a change in exchange rates. Label the axes.

SUPPLY AND DEMAND IN HEALTH CARE
March 5, 2019 Off All,

supply and demand in health care

Paper details Project: The purpose of this project is give you an opportunity to apply the course material you are learning to the real-world. Project base learning is a powerful learning tool, and it will help you retain the material and learn the information in a deeper more meaningful way. Question 1: Using shifts in supply and demand curves, describe two changes in the industry in which your firm operates. The changes may arise from a change in costs, entry/exit of firms, a change in consumer tastes, a change in the macroeconomy, a change in interest rates, or a change in exchange rates. Label the axes. Explain what happened to industry price and quantity by making specific references to the demand and supply curves: One change should affect demand and the other supply, decompose the changes into smaller pieces so that your explanation has a step-by-step character to it. You should have no less than three graphs: (1) One for the demand shift (similar to Figure 8.4 in the text), (2) A corresponding one for the supply shift, (3) A graph showing the overall combined effects l (similar to Figure 8.5 in the text). You will likely not have to access data to construct actual supply and demand graphs. This is not a research paper where you have to hunt down actual data, instead, you will have to make assumptions, and your grade will depend in part on how you critically think through this problem. For example, did you draw your demand curve steep or flat? What are the elasticity implications associated with the way you drew your curves, should your company increase or decrease the price, why (see section 6.3 in the text)? Question 2: Does your company price discriminate? Explain how the practice works and discuss the profit consequences of the price discrimination relative to a uniform price. If your company doesn’t currently price discriminate, are there opportunities to do so? How would you design the scheme? Instructions: The document should be in APA format and be approximately 1,500 words in length. The paper does not need an abstract, but the other components associated with APA e.g. title page, running header, body, references are required. Your introduction might be background information regarding your industry (health care) and then set up the rest of the paper by introducing your shift factors. Use headers in your body prior to each of your figures and be a little creative. For example, if your industry is Soft drinks, rather than say decrease in supply, you may say something like the “effect of trade-tariffs on Aluminum.