Context for the question below:

In a world of scarcity, our goal is to use our scarce resources in an economically efficient manner - the goal is to achieve an outcome which is economically efficient. Economic efficiency is achieved if our resources are being used so as to in a way that maximizes the value of output to society at the lowest opportunity cost. This requires we produce in a technically or productively efficient manner. If so, we will produce maximum combinations of the two goods. In context of the Production Possibilities Frontier, technical or production efficiency requires producing a combination of output that lies on the Production Possibilities Frontier. The question that remains is where on the PPF do we want to be or what combination of output that lies along the PPF should we produce?

Part A: Using marginal analysis, explain how the U.S. decides the maximum combination of the two goods/services to produce or how many resources should be allocated to each of the alternatives below?

Alternative 1: allocate resources toresearch designed to determine the effectiveness of the current medication being used to treat long Covid.

Alternative 2: allocate resources to improve the delivery of medical care services including to patients with long Covid.