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Our analysis so far has largely concentrated upon the organisation and delivery of health care - the market versus planning. In this unit, we are going to examine and question some of the assumptions behind this analysis. For example, we have assumed that it is possible to obtain the information needed to assess efficiency and that health care and health are effectively the same thing.
Information and economic efficiency
All our discussions of economic efficiency have assumed that we can obtain accurate information about health care inputs and outputs. Without such information, it is impossible to tell whether marginal costs equals marginal benefit or whether the output is being produced for the lowest possible cost. In practice, this information can be very difficult to obtain.
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