Economics

 
You just started working as a Health Service Manager within one of the following health care entities  First, (A) choose a health entity below to discuss the questions that follow:

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Ambulatory Surgery center
Pharmacy
Physician’s Office
Cosmetic Surgery Center
Laser Eye Center
Dental Office

(B) Your boss has asked you to write a business memo  (not just a standard essay), addressed to your boss (assume that’s your Professor) detailing how the demand for your products or services is impacted by various economic factors.  In writing your business memo, use the regular business memo format (with the usual To, From, Date, Subject entries) be sure to include your name, and identify the health care entity you chose above, in the subject line. In order for your boss to easily review your memo, please include section headers to correspond to the questions below.
Answer the following questions relying primarily on the course readings and other resource material presented in this class (do not use or cite any other sources).

Describe a product or service your company provides to your patients
Evaluate the demand curve for your product and the relationship between the price of your service/product and the quantity demanded.

In this evaluation, be sure to identify:

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whether demand is sensitive (e.g. elastic) or less sensitive (e.g. inelastic) to changes in the price.
evaluate why this elasticity of demand relationship might occur.
include a discussion of how the existence of health insurance would impact the elasticity of demand.

Define “substitute” goods and identify potential substitutes for your product/service. Evaluate how the existence of such substitutes may impact the demand for your product/service.
Define “complement” goods and identify potential complements for your product/service. Evaluate how does the existence of such complement goods may impact the demand for your product/service.
Identify and discuss at least two economic factors that might lead to a shift in the demand curve for your product/service?

Apply the APA style format as you learned in HMGT 300. The assignment rubrics are the same as those used for Assignment 1.

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