Microeconomics Simulation

Constructit is a company which does not presently have any employees with health insurance benefits. The company employs 1000 people and are willing to fund annual premiums as long as they can pay $4,000 per person. The employees comprise of 550 men and 450 women, ranging in ages 26 to 45. Furthermore, the workers 57% of the workers range from high activity to moderate activity while the 43% that remain are in predominantly sedentary positions. The employer must calculate what kind of risks the employee will face when considering what type of insurance to offer the employees. In this scenario, 38% of the employees are not at any major risk whatsoever.

Health care system has evolved tremendously in the last few years, with many changes with the health care laws including but not limited to Universal Health Care, many individuals have choices when it comes to their coverage. According to healthcare.gov, in January of 2015, an employer with 50 or more full time employees will have to make an Employer Shared Responsibility Payment if a full time employee gets a lower health coverage premium cost if insurance is purchase in a marketplace. However, employers are not subject to this law if the numbers of employees are lesser than 50 but are still

2. The principle of supply and demand is a fairly simple concept. The Manufacturer creates the supply and the consumer creates the demand. For example, if a manufacturer creates popular toy they will increase the supply around Christmas time and decrease the supply during middle of February. This is due to the fact that the consumer creates much more demand around that time.

Castor Collins Health Plans, a regional health maintenance organization (HMO), in the state of Pantome provides HMO health insurance and health care services to enrollees through its statewide network of physicians and hospitals. E-Editors, a company with 1600 employees has asked Castor Collins to find an employee health insurance plan that accepts preexisting conditions at a maximum premium of $4,500 per person. Caster has two plans, which may fit the client’s demands. This paper converses the selection method including risk factors as compared to premiums that the company is willing to pay. In addition, the paper also considers the

Supply and demand is a fundamental element of economics; it is the main support system of a market economy. Demand can be interpreted by the quantity of a product or service a consumer is desired to acquire at a given time period. Quantity demanded is the amount of product consumers are willing to purchase at a given price; the relationship between price and quantity demanded is commonly known as the demand relationship. Supply however, accounts for how much a market produces for consumers. The quantity supplied refers to the actual amount of a certain good firms are willing to supply to consumers when receiving a certain price. Having limited resources we all have to

We also discovered many suffer from an allergy which affects 92 men and 85 women 17% overall. Many of the employees suffer from migraines 16%, 75 men and 93 women. Although only 13% of the employees 78 men and 57 women Respiratory Diseases is still a cause of concern. The Last medical condition we discover was digestive disorders at 8% 52 men and 32 women. Now our task was to develop a plan and stay within our $4000 premium limit (Axia College, 2006).

In our investigation of the health demographics in Constructit we discovered the following health concerns. Almost half of the employees are obese, 198 men and 192 women which adds up to 39% of the workforce which in itself is a major concern. Obesity can cause High Cholesterol the second highest medical condition within this group meaning 19%, 101 men and 95 women. As well as high blood pressure is another cause of health concern with 88 men and 105 women, 19% of the workforce.

The law generally states that the availability of a product and the desire of it will affect the price of the product. The relationship between supply and demand is a complex one. When supply of a good/service is high the prices will decrease, but this can lead to a rise in the demand for the product. When demand is high however, more goods are being sold and the supply starts to get low causing higher prices, the demand will decrease at that higher price and more supply will be needed. Producers and business owners should strive to reach a point of equal supply and demand, also known as equilibrium. When equilibrium is reached, the product is selling at its most efficient, suppliers and distributors are selling as much product as they requested and consumers are getting as many goods as they demanded with a price that both parties are satisfied with. Both supply and demand work together to stabilize the market, create incentives for new types of products and make it even easier to study the economic habits of countries as a

Supply and demand theory helps in shaping the pricing strategy, distribution strategy, and life cycle of the product. Market situations of demand and supply impacts upon the type of strategy, it

The understanding and maintenance of the market equilibration process is necessary for a business manager. It is also necessary for the business manager to also understand the supply and demand principles. Supply and demand principles serve as a useful model for business manager’s to analyze the competitive market. It also illustrates how buyers and sellers interact in various business situations. Buyers and sellers will come to a point where they both agree on price and quantity. When this occurs, the point of intersection of supply and demand creates the point of equilibrium. The point of equilibrium can also be called

Understanding the fundamental concepts of economics allows us to analyze laws that have a direct bearing on the economy. These laws and theories are essentially the backbone of how economics is used and studied. The law of demand can be expressed by stating that as long as all other factors remain constant, as prices rise, the quantity of demand for that product falls. Conversely, as the price falls, the quantity of demand for that product rises (Colander, 2006, p 91). Price is the tool used that controls how much consumers want based on how much they demand. At any given price a certain quantity of a product is demanded by consumers. As the price decreases, the quantity of the products demanded will increase. This indicates that more individuals demand the good or service as the price is lowered. This can be illustrated using the demand curve. The demand curve is a downward sloping line that illustrates the inversely related relationship of price and quantity demanded.

Perhaps one of the most basic, and essential, concepts of economics is supply and demand. The law of supply and demand states that the price of any good adjusts to bring the quantity

Understanding how market equilibrium is maintained is essential for business managers.   As a manager, it is important to consider how economic principles, and specifically supply and demand, are as a part of everyday business decisions.   In the following paragraphs there will be a description of the economic concepts of supply, demand, and market equilibrium and discuss their relationship to real world examples.

Demand are supply relationships are used between consumers and suppliers and are vital for the marketing economy as stated by Heakal (2015) states: “supply and demand is perhaps one of the most fundamental concepts of economics and it is the backbone of the market economy”.

Supply and Demand: The market process is generally modeled using the economic concepts of supply and demand. The plans/desires of consumers are embedded in the concept of demand and the plans/desires of producers in the concept of supply. The plans of these two types of economic actors are brought together in markets, which are the entities in which transactions occur. In a modern economy, markets do not require that the buyers and sellers meet in a geographic place, so markets no longer require actual "marketplaces."...