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Econ 504

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Submitted By jdobbs02
Words 1919
Pages 8
Econ 545
March 24, 2014

In today’s economy, it is common to see young adults wonder what their career prospects will be like once they enter the workforce. This is the case with my cousin, Jenny. Jenny is a bright high school senior who is interested in making a smart investment into her future career path. Currently, Jenny is interested in exploring a career as a doctor. Since she knows I am currently taking this course in Economics, she is interested in learning how economic principles could play a role in her potential career path. In order to better help Jenny, I have conducted some research to help her make an informed decision. Over this course of this paper, I will explore several economic facets to help make sense of the data about this profession including the supply and demand, elasticity, costs of production, pricing, and economic or normal profit or loss. My goal is to better educate myself on these basic microeconomic concepts while providing Jenny with valuable data! To begin, the discussion will focus on what the demand for doctors looks like. I found an interesting article that focuses on the shortage of available physicians in the United States. This article paints a startling picture of how the demand for physicians will continue to grow over the next decade, as the available supply of physicians remains far less than the demand. Below is an interesting trend graph that this article presented.

The article also goes on to discuss how the recently implemented Affordable Care Act will impact the demand for physicians. As we can see from the chart listed above, the Affordable Care Act will open up the amount of people (or buyers) who will seek to utilize the services of a physician. The article projects that this act will add an estimated 30 to 40 million more Americans into the “healthcare patient pool”. In relation to what we refer to as

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