As I've written before, Medicare pricing exploits the difference between the marginal cost and the average cost.
Let's say for simplicity's sake that our marginal cost is also $3,000 a month, for a total cost of $6,000 a month, or $200 a day.
In fact, most people think they deserve to be the marginal cost consumer.
Assume that the marginal cost of taking on an extra business passenger is $2 and the marginal cost of a tourist passenger is $1.
Now on top of that fixed cost you have a marginal cost: the amount that it costs you to actually put a patient in a room.
This extra cost we can regard as constituting the marginal cost of mutton.
marginal cost alternating with minute spines; centre nearly smooth, depressed, convex or flexuose.
Valve elliptical; surface transversely undulate, with short, marginal cost.
marginal cost alternating with thick puncta; centre finely granulate with subtriangular elevations.
The desirable relation of price to marginal cost is but imperfectly attained.
The change in total cost of production when an output is varied by one unit.