7.5 what would happen financially to a health services organization over time if its prices were set at a. full costs? b. marginal costs? 7.6 a. what is cross-subsidization (price shifting)? b. is it as prevalent today as it has been in the past?

Respuesta :

If a health service organization set its prices to full costs, that organization would be financially healthy. If a health service organization set its prices to marginal costs that organization would only make enough money to cover its variable costs.

Cross subsidization is a process in which the entity charges higher prices to one group of consumers in order for them to be able to subsidize lower prices to another group

In economics, the marginal fee is the alternate in overall manufacturing value that comes from making or producing one extra unit. To calculate marginal cost, divide the exchange in manufacturing costs via the alternate in amount.

The marginal price refers to the boom in manufacturing fees generated by using the production of extra product devices. it is also known as the marginal fee of manufacturing. Calculating the marginal value lets in groups to look how quantity output impacts price and therefore, ultimately, income.

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