1. One IVF course = £2,700 What is the opportunity cost?
One-third of a cochlear implant
11 cataract removals
Half a junior school teaching assistant for a year
One-thousandth of a Challenger 2 military tank
1 heart bypass operation
150 vaccinations for Measles, Mumps and Rubella
2000 school dinners
Box 1.1 The opportunity cost of in-vitro fertilisation (IVF)
Economic Analysis in Health Care by Morris, Devlin and Parkin © 2007 John Wiley & Sons Ltd

2. Production function Mediating factors  Outputs Inputs
(Goods or services)
Inputs
(Resources)  
Figure 1.1 Production function
Economic Analysis in Health Care by Morris, Devlin and Parkin © 2007 John Wiley & Sons Ltd

3. The demand for and supply of liposuction
Price
Supply P
Figure 1.2 The demand for and supply of liposuction
Demand Q
Number of procedures per month
Utilisation: observed met demands
Unobserved unmet wants
Economic Analysis in Health Care by Morris, Devlin and Parkin © 2007 John Wiley & Sons Ltd

4. The demand for and supply of health care in the NHS
Price
Supply
Figure 1.3 The demand for and supply of health care in the NHS
Demand Q
Number of procedures per month
Utilisation: observed met demands
Observed unmet demands
Economic Analysis in Health Care by Morris, Devlin and Parkin © 2007 John Wiley & Sons Ltd