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Exercise 3. Suppose you work for a non-profit organization that sends health workers out in the field to vaccinate children in India. Sending a larger
Exercise 3. Suppose you work for a non-profit organization that sends health workers out in the field to vaccinate children in India. Sending a larger team would allow your organziation to prevent more children from contracting polio, and your organization estimates the following effectiveness: Number of Team Members Number of Polio Cases Averted 0 (i.e. no action 1 600 N 1300 2000 2600 3100 6 3500 7 3800 8 4000 4100 10 4150 1. Plot the relationship between the number of team members and the overall effectiveness of the team. I recommend using a software (e.g., Excel, SAS, R, Stata) to plot. [5] 2. Calculate the marginal effectiveness of each team option. [10] 3. Describe whether, in this production function, the level of effectiveness is increasing, decreas ing, both, or neither, as we add team members. Is there evidence of "the flat of the curve" occurring? [2.5] 4. Does the health production function have the typical shape of production functions? Describe the shape of the production function (convex, concave, neither convex nor concave, both convex and concave). [2.5]
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