MHA 710 Exam 1
Study online at https://quizlet.com/_cogmjz
1. Opportunity cost is a measure of foregone opportunities
and value based on the al-
ternative not chosen.
2. The opportunity cost of investing in a new lithotripter defined by the next best
(a machine that pulverizes kidney stones with sound use of the money invested
waves) is in the equipment.
3. What percentage of Americans considered the com- 40 percent
plete repeal of the Patient Protection And Affordable
Care Act of 2010 a good thing?
4. By 2020, what was the forecasted percentage amount 10.4 percent
of health care spending paid by individuals?
5. The "invisible hand" using Adam Smith's terminology market forces working
refers to through the price mecha-
nism.
6. According to recent public opinion polls, what per- 70 percent
centage of Americans are satisfied with the quality of
the medical care they receive?
7. According to economic theory what is the optimal There is no widely accept-
percentage of GDP to be spent on medical care? ed way to determine the
optimal percentage.
8. Which of the following statements is based on positive Individuals without health
analysis? insurance have less ac-
cess to physicians' ser-
vices than those who have
health insurance and The
high cost of health insur-
, MHA 710 Exam 1
Study online at https://quizlet.com/_cogmjz
ance places U.S. firms at a
competitive disadvantage
with their foreign com-
petitors.
9. Public option A public health insurance
plan comparable to Med-
icaid, designed to com-
pete with private insur-
ance.
10. Uncertainty A state in which multiple
outcomes are possible but
the likelihood of any one
outcome is not known.
11. Premium A periodic payment re-
quired to purchase an in-
surance policy.
12. Group insurance A plan whereby an en-
tire group receives insur-
ance under a single poli-
cy. The insurance is actual-
ly issued to the plan hold-
er, usually an employer or
association.
13. Medicare Health insurance for the
elderly provided under an
amendment to the Social
Security Act.
, MHA 710 Exam 1
Study online at https://quizlet.com/_cogmjz
14. Medicaid Health insurance for the
poor financed jointly by
federal and state govern-
ments.
15. Flexner Report A 1910 report published
as part of a critical re-
view of medical education
in the United States. The
response of the medical
establishment led to sig-
nificant changes in the ac-
creditation procedures of
medical schools and an
improvement in the qual-
ity of medical care.
16. Collective bargaining The negotiation process
whereby representatives
of employers and employ-
ees agree upon the terms
of a labor contract, includ-
ing wages and benefits.
17. Cost shifting The practice of charg-
ing higher prices to one
group of patients, usual-
ly those with health in-
surance, in order to pro-
vide free care to the
uninsured or discounted
, MHA 710 Exam 1
Study online at https://quizlet.com/_cogmjz
care to those served by
Medicare and Medicaid
18. Certificate of need (CON) Regulations that attempt
to avoid the costly duplica-
tion of services in the hos-
pital industry. Providers
are required to secure a
certificate of need before
undertaking a major ex-
pansion of facilities or ser-
vices.
19. Employee Retirement Income Security Act (ERISA) Federal legislation passed
in 1974 that sets mini-
mum standards on em-
ployee benefit plans, such
as pensions, health insur-
ance, and disability. The
statute protects the inter-
ests of employees in mat-
ters concerning eligibili-
ty for benefits. The law
also protects employers
from certain state regula-
tions. For example, states
are not allowed to regu-
late self-insured plans and
cannot mandate that em-
ployers provide health in-
surance to their employ-
ees.
Study online at https://quizlet.com/_cogmjz
1. Opportunity cost is a measure of foregone opportunities
and value based on the al-
ternative not chosen.
2. The opportunity cost of investing in a new lithotripter defined by the next best
(a machine that pulverizes kidney stones with sound use of the money invested
waves) is in the equipment.
3. What percentage of Americans considered the com- 40 percent
plete repeal of the Patient Protection And Affordable
Care Act of 2010 a good thing?
4. By 2020, what was the forecasted percentage amount 10.4 percent
of health care spending paid by individuals?
5. The "invisible hand" using Adam Smith's terminology market forces working
refers to through the price mecha-
nism.
6. According to recent public opinion polls, what per- 70 percent
centage of Americans are satisfied with the quality of
the medical care they receive?
7. According to economic theory what is the optimal There is no widely accept-
percentage of GDP to be spent on medical care? ed way to determine the
optimal percentage.
8. Which of the following statements is based on positive Individuals without health
analysis? insurance have less ac-
cess to physicians' ser-
vices than those who have
health insurance and The
high cost of health insur-
, MHA 710 Exam 1
Study online at https://quizlet.com/_cogmjz
ance places U.S. firms at a
competitive disadvantage
with their foreign com-
petitors.
9. Public option A public health insurance
plan comparable to Med-
icaid, designed to com-
pete with private insur-
ance.
10. Uncertainty A state in which multiple
outcomes are possible but
the likelihood of any one
outcome is not known.
11. Premium A periodic payment re-
quired to purchase an in-
surance policy.
12. Group insurance A plan whereby an en-
tire group receives insur-
ance under a single poli-
cy. The insurance is actual-
ly issued to the plan hold-
er, usually an employer or
association.
13. Medicare Health insurance for the
elderly provided under an
amendment to the Social
Security Act.
, MHA 710 Exam 1
Study online at https://quizlet.com/_cogmjz
14. Medicaid Health insurance for the
poor financed jointly by
federal and state govern-
ments.
15. Flexner Report A 1910 report published
as part of a critical re-
view of medical education
in the United States. The
response of the medical
establishment led to sig-
nificant changes in the ac-
creditation procedures of
medical schools and an
improvement in the qual-
ity of medical care.
16. Collective bargaining The negotiation process
whereby representatives
of employers and employ-
ees agree upon the terms
of a labor contract, includ-
ing wages and benefits.
17. Cost shifting The practice of charg-
ing higher prices to one
group of patients, usual-
ly those with health in-
surance, in order to pro-
vide free care to the
uninsured or discounted
, MHA 710 Exam 1
Study online at https://quizlet.com/_cogmjz
care to those served by
Medicare and Medicaid
18. Certificate of need (CON) Regulations that attempt
to avoid the costly duplica-
tion of services in the hos-
pital industry. Providers
are required to secure a
certificate of need before
undertaking a major ex-
pansion of facilities or ser-
vices.
19. Employee Retirement Income Security Act (ERISA) Federal legislation passed
in 1974 that sets mini-
mum standards on em-
ployee benefit plans, such
as pensions, health insur-
ance, and disability. The
statute protects the inter-
ests of employees in mat-
ters concerning eligibili-
ty for benefits. The law
also protects employers
from certain state regula-
tions. For example, states
are not allowed to regu-
late self-insured plans and
cannot mandate that em-
ployers provide health in-
surance to their employ-
ees.
