Deck 1: Overview of Economics

Question 1

Perhaps the most glaring deficiency in the United States today is:

A) The scarcity of healthcare resources
B) The lack of affordable health insurance coverage
C) The high cost of health care services
D) The poor health status of the population

Answer 1

B

Question 2

The three major tasks of economics are:

A) Description, Explanation, Prediction
B) Description, Evaluation, Estimation
C) Description, Explanation, Evaluation
D) Description, Evaluation, Estimation

Answer 2

C

Question 3

If the quantity of physician visits increases when the price of physician visits decreases, we can conclude the causal relation is:

A) Negative
B) Positive
C) Constant
D) Unrelated

Answer 3

A

Question 4

If a $200 increase in price is associated with an increase in quantity of 50 visits, with regard to the quantity axis the slope is:

A) 200\50
B) 200 X 50
C) 50\200
D) 50 X 200

Question 5

Scarcity is a major cause of many of today's healthcare system problems.

Question 6

Scarcity is defined as the excessive quantity of available goods and services compared with the amounts that people desire.

Question 7

The size of the uninsured and underinsured population in the United States has become an indication of the access problems in the US healthcare system.

Question 8

Economics is the discipline that deals with the consequences of resource scarcity.

Question 9

Descriptive economics involves conducting a cause-and-effect analysis.

Question 10

The purpose of a model is to illustrate relations between economic variables.

Question 11

In causal terms, slope can be expressed as the magnitude or sensitivity of response.

Question 12

Define the discipline of health economics.

Question 13

What is the purpose of graphic analysis?

Question 14

What is the true test of an explanatory model?