The very first one is the cost incurred. Ever thought of United States’ level of medication? Well, many people do not know the said country is far behind other developed countries in acquisition of Medicare. Compared to other countries, US healthcare is costly unlike countries like United Kingdom where government use funds the highest percentage of the cost and also negotiates with drug companies and physicians (Santerre et al, 2010).
2. The production possibility frontier (PPF) is a fundamental device in economy which is the most proficient underway of merchandise and administrations, in this manner allocating the resources are the best strategy. If the economy fails to apply the use of PPF, the economy is managed inefficiently leading to the production of the society to dwindle.
Opportunity cost, this is the unique value foregone in place of something else. This is very important to the country because it will make decisions on the products to allocate its resources first. Comparing the importance of buying a television set and going for food will definitely result to food. In this instance, food is more important than a television set. That now the opportunity