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Earlier this year the Australian Federal Government indicated its intention to introduce an up-front fee payable by customers visiting bulk-billing doctors. Through the use of basic economic principles, demonstrate the resulting market shifts that would occur and use theory to discuss the potential impact on equity.

Question 1               (500 words, 10 marks)

 

Briefly outline the trend in take-up of private health insurance in Australia over the last few decades. What are the likely factors that contribute to the growth? Evaluate the following statement from an economic perspective, “Private health insurance- the preserve of the rich- why on earth should they receive a subsidy?”

 

Question 2               (500 words, 10 marks)

 

Evaluate the following statement from an economic perspective, “Health care and asparagus- two different markets but the same economic tools of analysis and similar key questions apply.” What differentiates health care from other markets?

 

 

Question 3               (500 words, 10 marks)

 

Earlier this year the Australian Federal Government indicated its intention to introduce an up-front fee payable by customers visiting bulk-billing doctors. Through the use of basic economic principles, demonstrate the resulting market shifts that would occur and use theory to discuss the potential impact on equity.

 

 

Question 4               (750 words, 15 marks)

 

Smoking is good for no-one. Evaluate this statement from an economic perspective. Explain the relevance of elasticity of demand to the issue of smoking. What government interventions might be effective in reducing smoking behavior? Discuss. (Please see relevant short media article for some inspiration attached)

 

 

Question 5               (750 words, 15 marks)

 

Watch the video- The price of life

http://vimeo.com/4796083

 

In reality is there a price placed on human life?  Explain the ethical / moral issues associated with placing a price on life. Is it a necessary evil? Evaluate from an economic perspective.

 

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BHP Billiton was formed through the 2001 merger of Australia’s mining and oil giant BHP and U.K.-based mining group Billiton. The merger is captured by BHP Billiton’s logo which represents a large ‘blob’ (BHP) merging with a smaller ‘blob’ (Billiton) to form a perfectly whole new entity. BHP and Billiton maintained their primary listings (London and Australia) while merging the board of directors and home office. The merger created the world’s largest diversified resources company, with operations in 20 countries spanning the aluminium, coal, copper, ferro-alloys, iron ore, titanium, nickel, diamond, and silver mining sectors, as well as the oil, gas, and liquefied natural gas markets. BHP Billiton is leader or near-leader in nearly every market it covers. Before the merger both Billiton and BHP were undertaking a range of acquisitions and expansions. According to the CEO of BHP before the merger, Paul Anderson, a market leader in the mining industry would have to have free access to global capital markets, offer consolidated, global minerals solutions to customers, provide employees with a variety of opportunities for career development, operate with high regard for the environment and society, and hedge against potential economic, and hence, commodity price downturns. The MarketBusting strategy employed by both BHP and Billiton was that of exploiting the industry’s structure for the next stage of the life cycle. In looking at competitors, both BHP and Billiton realized that the industry was in flux and that in the next stage of the life cycle the industry would be highly consolidated and more vertically integrated, especially backward into the mining process

April 13, 2015 5:24 am
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