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Public Health Economics

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April 26th, 2021

You are the CEO of a large hospital. A large insurer approaches you and wants to contract with your facility to provide care for their 10,000 members for a prospective per member per month fee. What are some of the economic factors that you must consider before agreeing to the contract? Your answer should discuss the production function and different types of cost (average variable, marginal, average total, etc.)

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