MHA 710 Exam 1
Opportunity cost is a measure of
foregone opportunities and value based on the alternative not chosen.
The opportunity cost of investing in a new lithotripter (a machine that pulverizes kidney
stones with sound waves) is
defined by the next best use of the money invested in the equipment.
What percentage of Americans considered the complete repeal of the Patient Protection
And Affordable Care Act of 2010 a good thing?
40 percent
By 2020, what was the forecasted percentage amount of health care spending paid by
individuals?
10.4 percent
The "invisible hand" using Adam Smith's terminology refers to
market forces working through the price mechanism.
According to recent public opinion polls, what percentage of Americans are satisfied
with the quality of the medical care they receive?
70 percent
According to economic theory what is the optimal percentage of GDP to be spent on
medical care?
There is no widely accepted way to determine the optimal percentage.
Which of the following statements is based on positive analysis?
Individuals without health insurance have less access to physicians' services than
those who have health insurance and The high cost of health insurance places U.S.
firms at a competitive disadvantage with their foreign competitors.
Public option
,A public health insurance plan comparable to Medicaid, designed to compete with
private insurance.
Uncertainty
A state in which multiple outcomes are possible but the likelihood of any one
outcome is not known.
Premium
A periodic payment required to purchase an insurance policy.
Group insurance
A plan whereby an entire group receives insurance under a single policy. The
insurance is actually issued to the plan holder, usually an employer or association.
Medicare
Health insurance for the elderly provided under an amendment to the Social
Security Act.
Medicaid
Health insurance for the poor financed jointly by federal and state governments.
Flexner Report
A 1910 report published as part of a critical review of medical education in the
United States. The response of the medical establishment led to significant
changes in the accreditation procedures of medical schools and an improvement in
the quality of medical care.
Collective bargaining
, The negotiation process whereby representatives of employers and employees
agree upon the terms of a labor contract, including wages and benefits.
Cost shifting
The practice of charging higher prices to one group of patients, usually those with
health insurance, in order to provide free care to the uninsured or discounted care
to those served by Medicare and Medicaid
Certificate of need (CON)
Regulations that attempt to avoid the costly duplication of services in the hospital
industry. Providers are required to secure a certificate of need before undertaking
a major expansion of facilities or services.
Employee Retirement Income Security Act (ERISA)
Federal legislation passed in 1974 that sets minimum standards on employee
benefit plans, such as pensions, health insurance, and disability. The statute
protects the interests of employees in matters concerning eligibility for benefits.
The law also protects employers from certain state regulations. For example, states
are not allowed to regulate self-insured plans and cannot mandate that employers
provide health insurance to their employees.
Entitlement programs
Government assistance programs where eligibility is determined by a specified
criteria, such as age, health status, and level of income. These programs include
Social Security, Medicare, Medicaid, Temporary Assistance for Needy Families
(TANF), and many others.
Prospective payment
Payment determined prior to the provision of services. A feature of many
managed care organizations that base payment on capitation.
Opportunity cost is a measure of
foregone opportunities and value based on the alternative not chosen.
The opportunity cost of investing in a new lithotripter (a machine that pulverizes kidney
stones with sound waves) is
defined by the next best use of the money invested in the equipment.
What percentage of Americans considered the complete repeal of the Patient Protection
And Affordable Care Act of 2010 a good thing?
40 percent
By 2020, what was the forecasted percentage amount of health care spending paid by
individuals?
10.4 percent
The "invisible hand" using Adam Smith's terminology refers to
market forces working through the price mechanism.
According to recent public opinion polls, what percentage of Americans are satisfied
with the quality of the medical care they receive?
70 percent
According to economic theory what is the optimal percentage of GDP to be spent on
medical care?
There is no widely accepted way to determine the optimal percentage.
Which of the following statements is based on positive analysis?
Individuals without health insurance have less access to physicians' services than
those who have health insurance and The high cost of health insurance places U.S.
firms at a competitive disadvantage with their foreign competitors.
Public option
,A public health insurance plan comparable to Medicaid, designed to compete with
private insurance.
Uncertainty
A state in which multiple outcomes are possible but the likelihood of any one
outcome is not known.
Premium
A periodic payment required to purchase an insurance policy.
Group insurance
A plan whereby an entire group receives insurance under a single policy. The
insurance is actually issued to the plan holder, usually an employer or association.
Medicare
Health insurance for the elderly provided under an amendment to the Social
Security Act.
Medicaid
Health insurance for the poor financed jointly by federal and state governments.
Flexner Report
A 1910 report published as part of a critical review of medical education in the
United States. The response of the medical establishment led to significant
changes in the accreditation procedures of medical schools and an improvement in
the quality of medical care.
Collective bargaining
, The negotiation process whereby representatives of employers and employees
agree upon the terms of a labor contract, including wages and benefits.
Cost shifting
The practice of charging higher prices to one group of patients, usually those with
health insurance, in order to provide free care to the uninsured or discounted care
to those served by Medicare and Medicaid
Certificate of need (CON)
Regulations that attempt to avoid the costly duplication of services in the hospital
industry. Providers are required to secure a certificate of need before undertaking
a major expansion of facilities or services.
Employee Retirement Income Security Act (ERISA)
Federal legislation passed in 1974 that sets minimum standards on employee
benefit plans, such as pensions, health insurance, and disability. The statute
protects the interests of employees in matters concerning eligibility for benefits.
The law also protects employers from certain state regulations. For example, states
are not allowed to regulate self-insured plans and cannot mandate that employers
provide health insurance to their employees.
Entitlement programs
Government assistance programs where eligibility is determined by a specified
criteria, such as age, health status, and level of income. These programs include
Social Security, Medicare, Medicaid, Temporary Assistance for Needy Families
(TANF), and many others.
Prospective payment
Payment determined prior to the provision of services. A feature of many
managed care organizations that base payment on capitation.
