Doctors often charge patients different amounts depending on their judgement concerning the patients’ ability to pay. What implications does this have for exchange efficiency?

Doctors often charge patients different amounts depending on their judgment concerning their ability to pay. what implication does this have for exchange efficiency?

Advocates of small businesses often argue that they should receive special tax treatment. Assume that small business had to pay only half the social security tax that is imposed on large corporation. What effect would that have on production efficiency?

Explain what is meant by exchange efficiency and discuss the conditions under which the market will give up exchange efficiency. In your explanation of exchange efficiency, you should discuss what slopes are relevant for exchange efficiency and how they are relevant. While I expect to see the equation for exchange efficiency as part of your answer, you are also expected to explain the intuition behind the equation to demonstrate you understand economics. (Note: this is referred to as Pareto efficiency in pure economy exchange.)