Question 1

Use the following graphs to answer the following questions:
A.
  B.
  C.
  D.
  E.
 
-Which graph represents the passage of a law that makes it more difficult to be licensed as a medical doctor who can perform brain surgery?

Accepted Answer

The answer of Use the following graphs to answer the...

Question 2

Patients in need of an organ transplant often require years of weekly treatments to keep them healthy until a compatible organ is found.Because such maintenance care may last for years,the demand for treatment is

Accepted Answer

The answer of Patients in need of an organ transplant...

Question 3

While throwing a Frisbee to his dog,Fareem sprained his ankle.In regard to seeking medical care,Fareem's demand for care is

Accepted Answer

Fareem's demand for medical care is likely to be more elastic for a sprained ankle than for a broken leg because a sprain is generally less severe and may not require as much medical attention. This means that Fareem may be more willing to shop around for the most affordable care or even choose not to seek care at all.

Question 4

What would happen to the price and quantity of medical services if an existing doctor's office closed in a small town,ceteris paribus?

Accepted Answer

If an existing doctor's office closed in a small town, then the supply of medical services in that town would decrease. This would lead to a decrease in the equilibrium quantity of medical services. However, the demand for medical services would not necessarily change if there were no changes in the population or demographics of the town. Therefore, the price of medical services would increase due to the decrease in supply and the constant demand. This is represented by a movement up along the demand curve to a new equilibrium point with a higher price and lower quantity.

Question 5

Use the following graphs to answer the following questions:
A.
  B.
  C.
  D.
  E.
 
-Which graph represents the development of very expensive technology that makes it possible to cure diseases that previously were incurable?

Accepted Answer

The answer of Use the following graphs to answer the...

Question 6

Use the following graphs to answer the following questions:
A.
  B.
  C.
  D.
  E.
 
-In terms of supply and demand for hip surgery conducted in a foreign country,which graph represents the expansion of medical tourism as consumers become aware of the high quality of health care that can be found abroad?

Accepted Answer

The answer of Use the following graphs to answer the...

Question 7

In an effort to reduce the federal budget deficit,Congress has decided to reduce the amount of money spent on Medicare and Medicaid.How does this affect the equilibrium price and quantity of medical services?

Accepted Answer

When there is a reduction in the amount of money spent on Medicare and Medicaid, it leads to a decrease in demand for medical services. However, the supply of medical services remains constant. This creates a surplus of medical services, which leads to a decrease in the equilibrium price and quantity of medical services. Therefore, choice C is the best answer.

Question 8

The federal government has recently decided to expand the amount of prescription drug insurance offered to the elderly.How does this affect the price and quantity of medical services?

Accepted Answer

Expanding prescription drug insurance for the elderly increases their ability to afford medications, thus increasing demand for medical services while supply remains constant. This leads to a rise in both the equilibrium price and quantity of medical services.

Question 9

As governor,Marcy has decided that anyone who works but earns less than $20,000 a year will have their health insurance premiums paid for by the government.How does this affect the equilibrium price and quantity of medical services?

Accepted Answer

By covering health insurance premiums for low-income workers, the government effectively increases the demand for medical services among this group, as they are now more able to afford these services. Since the supply of medical services remains unchanged, the increased demand leads to a rise in both the equilibrium price and quantity of medical services.

Question 10

Which of the following statements is true?

Accepted Answer

The demand for health care among unhealthy older adults is generally considered inelastic because they are likely to require health care regardless of changes in price, due to the necessity of managing or treating their health conditions.

Question 11

Use the following graphs to answer the following questions:
A.
  B.
  C.
  D.
  E.
 
-Health insurance companies routinely hold patients partially responsible for medical costs.One decides to increase the amount that patients have to pay.Which graph best represents this change?

Accepted Answer

The answer of Use the following graphs to answer the...

Question 12

While tossing a toy to her cat,Danika sprained her ankle.In regard to seeking medical care,Danika's demand for care is

Accepted Answer

The answer of While tossing a toy to her cat,Danika...

Question 13

Which of the following medical procedures would have the most inelastic demand?

Accepted Answer

A heart transplant is a life-saving procedure with no substitutes, making it the most essential and urgent medical procedure. The demand for a heart transplant is extremely inelastic, as individuals are willing to pay any price to have the operation.

Question 14

Use the following graphs to answer the following questions:
A.
  B.
  C.
  D.
  E.
 
-Which graph represents what would happen if hospitals were to receive a significant tax deduction for constructing new facilities?

Accepted Answer

Graph C likely represents an increase in the supply of hospital services, as a significant tax deduction for constructing new facilities would reduce the cost of expanding services, leading to an increase in supply.

Question 15

What would happen to the price and quantity of medical services if a new doctor's office opened in a small town?

Accepted Answer

The opening of a new doctor's office in a small town would increase the supply of medical services, as there are now more doctors to provide care. However, demand for medical services is unlikely to change significantly, as people still need healthcare regardless of whether a new office has opened. Therefore, the increase in supply would lead to a decrease in equilibrium price, as doctors compete for patients. At the same time, quantity demanded would increase, as the lower price encourages more people to seek medical care.

Question 16

Which of the following statements is true?

Accepted Answer

The answer of Which of the following statements is true?
...

Question 17

How do demand and supply influence the increasing cost of health care?

Accepted Answer

The demand for health care is strong and inelastic, meaning that people are willing to pay high prices for health care because it is essential for their well-being, and they cannot easily substitute or go without it. However, supply is limited due to the high cost of medical training, technology, and research, as well as regulatory barriers. This imbalance between strong demand and limited supply leads to increasing costs for health care services.

Question 18

Many colleges and universities in the United States now require students to purchase health insurance.Such a requirement would

Accepted Answer

Requiring college students to purchase health insurance increases the number of healthy individuals that are insured, which can lower overall prices for health insurance as the risk pool is spread out among more people. This requirement would have no direct impact on the supply or demand for health care itself.

Question 19

As the price of medical care rises,the

Accepted Answer

When the price of medical care rises, the quantity demanded decreases, as people are less willing to pay higher prices for medical services. This is reflected by a movement up the demand curve from a point of higher price and lower quantity demanded to a point of lower price and higher quantity demanded. The supply curve is not directly affected by changes in price, but rather by changes in the cost of production or availability of resources.

Question 20

As governor,Lynda has decided to balance the budget by reducing the number of people for whom the government provides health care.How does this affect the equilibrium price and quantity of medical services?

Accepted Answer

By reducing the number of people for whom the government provides health care, demand for medical services will decrease. As a result, the equilibrium price and quantity of medical services will fall because, with a reduction in demand, suppliers will need to decrease their prices to maintain their current level of output. Additionally, fewer people receiving government-provided health care means that there will be fewer people with the means to pay for medical services, further decreasing demand. However, supply is unaffected in this scenario.

Quiz 18: Health Insurance and Health Care

Use the following graphs to answer the following questions: A. B. C. D. E. -Which graph represents the passage of a law that makes it more difficult to be licensed as a medical doctor who can perform brain surgery?

Patients in need of an organ transplant often require years of weekly treatments to keep them healthy until a compatible organ is found.Because such maintenance care may last for years,the demand for treatment is

While throwing a Frisbee to his dog,Fareem sprained his ankle.In regard to seeking medical care,Fareem's demand for care is

What would happen to the price and quantity of medical services if an existing doctor's office closed in a small town,ceteris paribus?

Use the following graphs to answer the following questions: A. B. C. D. E. -Which graph represents the development of very expensive technology that makes it possible to cure diseases that previously were incurable?

Use the following graphs to answer the following questions: A. B. C. D. E. -In terms of supply and demand for hip surgery conducted in a foreign country,which graph represents the expansion of medical tourism as consumers become aware of the high quality of health care that can be found abroad?

In an effort to reduce the federal budget deficit,Congress has decided to reduce the amount of money spent on Medicare and Medicaid.How does this affect the equilibrium price and quantity of medical services?

The federal government has recently decided to expand the amount of prescription drug insurance offered to the elderly.How does this affect the price and quantity of medical services?

As governor,Marcy has decided that anyone who works but earns less than $20,000 a year will have their health insurance premiums paid for by the government.How does this affect the equilibrium price and quantity of medical services?

Which of the following statements is true?

Use the following graphs to answer the following questions: A. B. C. D. E. -Health insurance companies routinely hold patients partially responsible for medical costs.One decides to increase the amount that patients have to pay.Which graph best represents this change?

While tossing a toy to her cat,Danika sprained her ankle.In regard to seeking medical care,Danika's demand for care is

Which of the following medical procedures would have the most inelastic demand?

Use the following graphs to answer the following questions: A. B. C. D. E. -Which graph represents what would happen if hospitals were to receive a significant tax deduction for constructing new facilities?

What would happen to the price and quantity of medical services if a new doctor's office opened in a small town?

Which of the following statements is true?

How do demand and supply influence the increasing cost of health care?

Many colleges and universities in the United States now require students to purchase health insurance.Such a requirement would

As the price of medical care rises,the

As governor,Lynda has decided to balance the budget by reducing the number of people for whom the government provides health care.How does this affect the equilibrium price and quantity of medical services?