The response of the health care industry to legislative and macroeconomic shocks is delayed due to the lengthy nature of training for many health care jobs, the contractual arrangements for many health care jobs, and the process of adjustments across the economy. Which of the historical examples below does not serve as an illustration of this phenomenon?
A) Unexpected inflationary spending in 1977 was not realized immediately in health care.
B) The 1987 stock market crash had little impact on 1988 health care employment levels.
C) The recession of 2007-2009 had little impact on health care employment levels.
D) It took about seven years to realize the total rise in employment attributable to passage of Medicare in 1965.
E) Spike in drug utilization between the months of January and May of 2006 was a result of the enactment of Medicare Part D in January 2006, which provided prescription drug coverage for seniors.
Correct Answer:
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