healthcare economics | final exam (11-18)
Progressive
Short Answer - A tax has a larger relative impact on the incomes of high-income individuals than on low income individuals is considered to be what? { Chapter 14 }
Survival time
Short Answer - An example of a holistic measure would be what? { Chapter 12 }
Lost productivity
Short Answer - An example of an economic cost would be what? { Chapter 12 }
$600
Short Answer - Assuming that the price of a medical encounter is $1,000 and the beneficiary has an unmet $500 deductible and 20% coinsurance rate, the amount the beneficiary will pay is: { Chapter 14 }
Dominant
Short Answer - If a new treatment is less costly than an older treatment, and this new treatment is also more effective than the older treatment, then what would this make this newer treatment? { Chapter 12 }
Steeply sloped
Short Answer - If an individual does not want to have a strong willingness to work more as wages increase, then the supply curve will be what? { Chapter 11 }
Shift outward
Short Answer - If the labor becomes more productive, what will the demand curve do? { Chapter 11 }
A low risk of loss and low administrative expenses
Short Answer - If two profit-maximizing insurance companies are competing for business, they will seek out insured people with what? { Chapter 16 }
Rationalize and channel utilization
Short Answer - In order to achieve desired outcomes and costs, managed care focuses on efforts to do what? { Chapter 16 }
Staff Model HMO
Short Answer - In terms of ability to control provider decision-making, the "tightest" type of plan is which model? { Chapter 16 }
Left
Short Answer - Poor health will cause the labor supply curve to shift in which direction? { Chapter 11 }
Equity
Short Answer - The burden of payments of specific groups of Medicare beneficiaries refers to what? { Chapter 15 }
Cost-effective analysis
Short Answer - The economic analysis method used when there are alternative ways to attain a single outcome is what? { Chapter 12 }
Eligibility criteria
Short Answer - The federal government defines minimum requirements that states must meet with Medicaid, but the states have broad authority to establish what? { Chapter 15 }
Increasing wages and restricting employment
Short Answer - The labor union impacts a market in which ways? { Chapter 11 }
C
Short Answer - The part of Medicare that is an alternative to the traditional Medicare Plan and allows individuals to enroll in private plan is which? { Chapter 15 }
General revenue
Short Answer - The source of Medicare funding paying the largest amount is what? { Chapter 15 }
Vertical equity
Short Answer - The type of equity that concerns the economic burden experienced by different income groups is called what? { Chapter 13 }
1. The welfare gain from shifting the risk 2. The welfare loss from an ill individual consuming beyond the optimal point
Short Answer - What are two welfare effects of insurance? { Chapter 13 }
Loading fee
Short Answer - What is the amount above the medical claims paid that the insurance company charges? { Chapter 14 }
Allocative efficiency
Short Answer - What is the distribution of output that is based on utility? { Chapter 13 }
Reduces employment and reduces wages
Short Answer - What is the effect of payroll tax? { Chapter 14 }
Deductible
Short Answer - What is the fixed amount that should be paid to an insurance company prior to it covering a medical service? { Chapter 14 }
Increased wages and labor days
Short Answer - What will increases in the price of product in the labor market result in? { Chapter 11 }
Cost-minimization analysis
Short Answer - When outcomes are the same for all interventions being studied, then the analysis that can be applied is what? { Chapter 12 }
A
Short Answer - Which part of Medicare covers hospital services? { Chapter 15 }
Age, geography, and family structure
Short Answer: The Patient Protection and Affordable Care Act stipulates that insurance premiums will vary only because of what? { Chapter 16 }
True
True or False? A major contributor to the growth of healthcare expenditures has been the rapid development and widespread diffusion of new medical technologies and services. { Chapter 18 }
True
True or False? A major difference in the ACO and previous efforts is that it combines care delivery and payment reform. { Chapter 16 }
False
True or False? Allocative efficiency implies that the lowest cost combinations of inputs is used at any output level. { Chapter 13 }
False
True or False? An economic evaluation provides all answers for making informed decisions. { Chapter 12 }
True
True or False? An example of an insurance premium subsidy provided by government to individuals who purchase insurance is the income tax deduction for employer-paid health insurance premiums. { Chapter 16 }
False
True or False? An individual will increase work time hours if the value of the lost leisure is greater than the wage rate. { Chapter 11 }
True
True or False? Because the healthcare industry represents such substantial portion of economic activities, it both impacts and is impacted by the general economy. { Chapter 18 }
False
True or False? Clinical outcomes measures include how the patient regards their own health condition. { Chapter 12 }
False
True or False? Coinsurance requires the beneficiary to pay a fixed amount each time a service is used. { Chapter 14 }
False
True or False? Demand-side regulation of hospitals include certificate-of- need requirements for entry of new hospitals. { Chapter 17 }
True
True or False? Each individual will purchase insurance as long as the premium rate is less than or equal to what the individual is willing to pay. { Chapter 16 }
True
True or False? Economic system based on competitive markets and private enterprises are characteristic of most of the nations of the world. { Chapter 17 }
True
True or False? Health insurance benefits paid by the employer are exempt from personal income taxes and social security taxes of the employee. { Chapter 14 }
True
True or False? Health-related quality of life indexes are usually confined to a patient's health status at a given point in time. { Chapter 12 }
False
True or False? If marginal costs are greater than the marginal social value, then output should be increased. { Chapter 13 }
False
True or False? In benefit-cost analysis, the difference in costs is compared to the difference in outcomes, of which there is a single type. { Chapter 12 }
False
True or False? In economic analysis, the societal perspective is the viewpoint of providers, patients, and payers. { Chapter 12 }
False
True or False? In establishing a system of values, the participatory method imposes a value system on members of society. { Chapter 13 }
True
True or False? In healthcare markets, high seller concentration may be justified on the basis of access-to-care or quality-of-care considerations. { Chapter 17 }
True
True or False? In looking at economic efficiency performance criteria of the insurance markets, the essential question being asked is whether an optimal degree risk is shifted by consumer into insurers. { Chapter 16 }
False
True or False? In the case of insurance markets, the main goal of reform has been to increase consumer choice. { Chapter 16 }
True
True or False? In the state of information asymmetry, one group of individuals potentially engage in transaction has better information than another group potentially engaged in the transaction. { Chapter 16 }
True
True or False? Incremental cost-effectiveness ratio (ICER) is another form of cost-effectiveness analysis. { Chapter 12 }
False
True or False? It is easy to measure the impact that new technology has on the costs of healthcare. { Chapter 18 }
False
True or False? Low income is a sufficient condition for coverage under Medicaid. { Chapter 15 }
True
True or False? Marginal cost is the amount paid to the resource to induce them to not produce something else of value to consumers. { Chapter 13 }
False
True or False? Marginal productivity is determined by diving total output by total input. { Chapter 11 }
True
True or False? Marginal valuation is the extra amount of money that an individual pays for an additional unit of a good or service. { Chapter 13 }
True
True or False? Medicaid is an entitlement program, so that once a state has established the eligibility criteria for its Medicaid program, then all individuals in the state meeting the criteria have a federal right to Medicaid coverage. { Chapter 15 }
False
True or False? Medicare is a major payer of nursing home care. { Chapter 17 }
True
True or False? Medicare is a national health insurance program for a subset of the U.S population. { Chapter 15 }
False
True or False? Medigap policies cover the gaps, but do not cover the cost-sharing requirements of Medicare. { Chapter 15 }
False
True or False? Only hospitals and physicians are facing tremendous pressure to cut costs, improve quality, and prepare for fundamental change in how healthcare is provided, financed, and consumed. { Chapter 18 }
True
True or False? Part B is voluntary and beneficiaries are required to pay a premium for the program. { Chapter 15 }
True
True or False? Pay for performance has been introduced to provide incentives for providers to improve quality of care delivered. { Chapter 18 }
False
True or False? Quality Improvement Organizations (QIOs) are public, usually tax-exempt organizations. { Chapter 17 }
True
True or False? Social value is made of an individual's private and external values for a good or service. { Chapter 13 }
True
True or False? Taxes can be regarded as reductions in income or wealth without attachment benefits. { Chapter 14 }
False
True or False? Technical efficiency refers to the equality of price and marginal cost. { Chapter 17 }
False
True or False? Technologies introduced in healthcare usually reduce the per-unit cost of output. { Chapter 18 }
False
True or False? The FDA regulates prescription medications, generic drugs, but not over-the-counter drugs. { Chapter 17 }
True
True or False? The Labor Market is the institution by which workers and employers come together to engage in the production of output. { Chapter 11 }
True
True or False? The burden of sales tax will be shared by the consumer and supplier. { Chapter 14 }
True
True or False? The demand for labor is derived demand. { Chapter 11 }
True
True or False? The economic theory of regulation suggests that providers may be able to dominate the legislative and regulatory process. { Chapter 17 }
True
True or False? The extra-welfarist person is concerned with how health is being distributed among all members of society. { Chapter 13 }
True
True or False? The higher the deductible, the fewer the claims that will need to be processed. { Chapter 14 }
True
True or False? The historical boundaries between investor-owned and tax-exempt organizations are becoming blurred. { Chapter 18 }
False
True or False? The introduction and diffusion of medical technologies is expected to slow down in the future. { Chapter 18 }
False
True or False? The lower a state's per capita income, the lower the rate (the federal match rate- FMAP) paid by the federal government. { Chapter 15 }
False
True or False? The marginal value product curve is the supply curve for input in the production process. { Chapter 11 }
True
True or False? The marginal value product is the additional revenue obtained from employing one extra unit of input. { Chapter 11 }
False
True or False? The net-benefit approach in economic analysis compares projects on the basis of the average benefit per cost. { Chapter 12 }
True
True or False? The purpose of a mandate to purchase insurance is to block individuals from leaving the health insurance market. { Chapter 16 }
False
True or False? The stop-loss feature sets a lower limit on the amount a consumer will have to pay during a specific period of time. { Chapter 14 }
True
True or False? The substitution effect of income for leisure is the positive relationship between wages and labor time. { Chapter 11 }
False
True or False? The use of electronic health records will decrease the complexity of changes occurring in healthcare system. { Chapter 18 }
False
True or False? Under community rating, the unhealthy subsidize the healthy. { Chapter 16 }
True
True or False? Under the community rating method, all enrollees in a plan are charged the same premium. { Chapter 14 }
True
True or False? Utility is assumed to reflect customer welfare. { Chapter 13 }
False
True or False? Value-based purchasing programs are supply-wide strategies that impact the utilization of healthcare services by rewarding excellence in healthcare delivery. { Chapter 18 }
