Deck 18: Public Policy and Health Economics

Question 1

The fundamental difference between the approach to the provision of health care in the United States and most other industrialized nations is that the United States is more market oriented and insurance coverage is less inclusive.

Answer 1

True

Question 2

The market system relies more heavily on which of the following as a rationing device?

A) Price mechanism
B) Supply mechanism
C) Demand mechanism
D) Equity mechanism

Answer 2

A

Question 3

Which of the following is an insurance program for families who have incomes that are too high to be considered for Medicaid but who cannot afford private insurance?

A) Advantra
B) Medicare
C) Children's Health Insurance Program
D) Social Security

Answer 3

C

Question 4

Critiques of a healthcare system usually subject it to which of the following criteria?

A) Efficiency
B) Accessibility
C) Equity
D) Reliability
E)Quality

Question 5

It is widely believed that the social costs of health care for the uninsured are higher than for the insured, given that our society often does not refuse to provide health care to the sick, even if they cannot pay.

Question 6

Several economists have demonstrated which of the following is the largest contributor to rising healthcare costs?

A) Aging population
B) Technological advances
C) Rising insurance premiums
D) Rising cost of prescription medication

Question 7

Which of the following provides an incentive for providers of care to offer more treatments because payment is dependent on the quantity rather than the quality of care?

A) Retrospective payment system
B) Prospective payment system
C) Fee-for-service payment system
D) Single-payer payment system

Question 8

Monopolistically competitive markets have a few dominant firms and many small firms with little market power.

Question 9

Health plans providing information about the costs of particular services are likely to be more helpful in decisions about_________________, where the decision to receive care is more discretionary.

Question 10

Which of the following is defined as the process of selling the same product at different prices to different buyers based on some characteristic of the buyer's in order to maximize profits?

A) Price adjustment
B) Price loyalty
C) Price discrimination
D) Price discrepancy