Q1. Discuss the two views of government intervention in a market-based health care system. Illustrate role does the politician play in both of these views?
According to Lindsay (1976), why are the average costs of production likely to be lower for a public hospital than for an otherwise identical private hospital?
Q2. An aircraft has 100 seats, and there are two types of fares: full ($499) and discount ($99). While there is an unlimited demand for discount fares, demand for full fares is estimated to be anywhere between 10 and 30. Explain how many seats should be protected for full-fare passengers?