ECONOMICS

Detailed explanation-1: -AHP (Analytic Hierarchy Process) is a decision-making technique designed to select the best alternative from a set of alternatives evaluated against several criteria.

Detailed explanation-2: -ABC is used for strategic decision making. It assesses the costs associated with specific activities and resources and links those costs to specific internal and external customers of the healthcare enterprise (e.g., patients, service lines, and physician groups) to determine the costs associated with each customer.

Detailed explanation-3: -Marginal analysis is an effective tool for decision-making because it takes preferences, resources, and informational constraints into account, so managers can make more optimal decisions based on this information.

Detailed explanation-4: -The four different decision-making models-rational, bounded rationality, intuitive, and creative-vary in terms of how experienced or motivated a decision maker is to make a choice.

Detailed explanation-5: -An alternative is one of the possible courses of action available. Without alternatives, we have no decision. Good alternatives are (1) under our control, (2) significantly different, (3) potentially attractive, and (4) doable.