1. In your opinion, Americans spend more on smart phones than any other country. Even though much cheaper options are available many, including people with limited funds, are willing to make this expensive purchase. On the other hand when it comes to healthcare, individuals expect to pay minimally if at all. Why do we consider spending money on quality healthcare so much less appealing than a $600 smart phone purchase?
2. Thinking about what you learned about marginal analysis from the readings, practice your new understandings with this scenario: Your accountants tell you that it costs $400 to set up an immunization program at a preschool and immunize one child against polio. It will cost $460 to immunize 20 more children.
   1. What is the cost per child for the first child?
   2. What is the cost per child for these additional 20 children?
   3. What is the average cost per child?
   4. What concepts do these calculations illustrate? Your calculations may differ from your classmates. Compare your calculations to discover the most accurate way of calculating these answers.
3. Now that you've discussed these calculations and thought about marginal analysis, let's apply it to a health care setting: Pretend you have been awarded a $10,000 grant to improve the quality of care in an organization/care setting of your choice.

• Choose an area of practice or area of interest that you are most familiar with.
• Using what you know of marginal analysis, identify one thing you would change it improve quality.
• Share with your classmates the important questions you need to ask yourself before implementing the change.
• Discuss the possible successes and barriers of changes that others are considering.