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Jasmine, the new CEO of the City Hospital wants to utilize her hospital room's staff in a manner that leads to the least cost combination.
- Jasmine, the new CEO of the City Hospital wants to utilize her hospital room's staff in a manner that leads to the least cost combination. The room's staff may be divided into two distinct categories, Registered Nurses and Nurses' Assistants. if the cost of a Registered Nurse is $50 per hour while a Nurse Assistant costs $15 an hour. The marginal productivity of the staff is measured by the amount generated for the hospital per hour. Currently the marginal productivity of a Registered Nurse is $200 while that of a Nurse Assistant is $45.
- Is the current mix of operating room's medical staff optimal? Why?
- What do we recommend to the hospital CEO?
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Macroeconomics Principles And Policy
Authors: William J. Baumol, Alan S. Blinder
11th Edition
0324586213, 978-0324586213
