Question 1

The main purpose of HMOs and PPOs is to:

Accepted Answer

A)  reduce health care costs for employers and their employees. 
B)  reduce medical malpractice suits. 
C)  enable groups of physicians to increase their fees. 
D)  direct patients to specialists rather than to more expensive primary-care physicians. 
A)  reduce health care costs for employers and their employees. 
B)  reduce medical malpractice suits. 
C)  enable groups of physicians to increase their fees. 
D)  direct patients to specialists rather than to more expensive primary-care physicians.

Question 2

A major implication of asymmetric information is that:

Accepted Answer

A)  health care suppliers may reduce the supply of health care. 
B)  health care suppliers may increase the demand for health care. 
C)  collusion between health care suppliers and purchasers may accelerate the rise in costs. 
D)  resources may be underallocated to the health care industry. 
A)  health care suppliers may reduce the supply of health care. 
B)  health care suppliers may increase the demand for health care. 
C)  collusion between health care suppliers and purchasers may accelerate the rise in costs. 
D)  resources may be underallocated to the health care industry.

Question 3

The twin problems of the U.S.health care industry are:

Accepted Answer

A)  rapidly rising costs and unequal access to health care. 
B)  declining quality of health care and the duplication of specialized equipment at hospitals. 
C)  declining per capita spending on health care and the moral hazard problem. 
D)  the decline in the number of family physicians and the failure to vaccinate children. 
A)  rapidly rising costs and unequal access to health care. 
B)  declining quality of health care and the duplication of specialized equipment at hospitals. 
C)  declining per capita spending on health care and the moral hazard problem. 
D)  the decline in the number of family physicians and the failure to vaccinate children.

Question 4

Defensive medicine refers to the idea that:

Accepted Answer

A)  it is more cost-efficient to prevent illnesses than to cure them. 
B)  physicians may require unnecessary testing as a means of protecting themselves against malpractice suits. 
C)  doctors know much more about diagnosing and treating illnesses than do health care consumers. 
D)  physicians do not advertise their services or fees. 
A)  it is more cost-efficient to prevent illnesses than to cure them. 
B)  physicians may require unnecessary testing as a means of protecting themselves against malpractice suits. 
C)  doctors know much more about diagnosing and treating illnesses than do health care consumers. 
D)  physicians do not advertise their services or fees.

Question 5

Which of the following is not one of the ways the PPACA attempts to cover the poor?

Accepted Answer

A)  Requiring larger employers to provide insurance for all of their full-time employees. 
B)  Providing health care directly to the poor through government-run clinics and hospitals. 
C)  Subsidizing the purchase of health insurance for those who buy to comply with the personal mandate. 
D)  Expanding Medicaid to cover anyone with an income less than 133 percent of the poverty level. 
A)  Requiring larger employers to provide insurance for all of their full-time employees. 
B)  Providing health care directly to the poor through government-run clinics and hospitals. 
C)  Subsidizing the purchase of health insurance for those who buy to comply with the personal mandate. 
D)  Expanding Medicaid to cover anyone with an income less than 133 percent of the poverty level.

Question 6

One of the main differences between PPOs and HMOs is that:

Accepted Answer

A)  HMO physicians charge on a traditional fee-for-service basis,while PPO physicians do not. 
B)  HMOs are usually for-profit organizations,whereas PPOs are not. 
C)  PPOs employ their own doctors,whereas HMOs do not. 
D)  PPO physicians charge on a traditional fee-for-service basis,while HMOs do not. 
A)  HMO physicians charge on a traditional fee-for-service basis,while PPO physicians do not. 
B)  HMOs are usually for-profit organizations,whereas PPOs are not. 
C)  PPOs employ their own doctors,whereas HMOs do not. 
D)  PPO physicians charge on a traditional fee-for-service basis,while HMOs do not.

Question 7

Health savings accounts (HSAs)implemented by the 2003 Medicare law:

Accepted Answer

A)  are only available to those enrolled in Medicare. 
B)  allow workers to accumulate untaxed dollars for payment of qualified medical expenses. 
C)  are criticized because they require workers to "use it or lose it" each year;workers are not allowed to accumulate balances over time. 
D)  can only be used to pay for prescription drugs. 
A)  are only available to those enrolled in Medicare. 
B)  allow workers to accumulate untaxed dollars for payment of qualified medical expenses. 
C)  are criticized because they require workers to "use it or lose it" each year;workers are not allowed to accumulate balances over time. 
D)  can only be used to pay for prescription drugs.

Question 8

(Consider This)The PPACA was intended to expand health care coverage to all Americans.Which of the following was not one of problems with the law in terms of that goal?

Accepted Answer

A)  Firms avoided the employer mandate by cutting worker hours to part-time status. 
B)  Insurance providers are allowed to deny coverage to those with preexisting conditions. 
C)  Many poor workers were ineligible to receive the subsidies necessary to help them fulfill the personal mandate. 
D)  States declined to set up the insurance exchanges specified in the act. 
A)  Firms avoided the employer mandate by cutting worker hours to part-time status. 
B)  Insurance providers are allowed to deny coverage to those with preexisting conditions. 
C)  Many poor workers were ineligible to receive the subsidies necessary to help them fulfill the personal mandate. 
D)  States declined to set up the insurance exchanges specified in the act.

Question 9

The price of medical care in the United States has:

Accepted Answer

A)  remained relatively unchanged in recent years. 
B)  risen slower than the overall price level. 
C)  risen at the same pace as the overall price level. 
D)  risen faster than the overall price level. 
A)  remained relatively unchanged in recent years. 
B)  risen slower than the overall price level. 
C)  risen at the same pace as the overall price level. 
D)  risen faster than the overall price level.

Question 10

The federal government in 2006 enacted limits on "pain and suffering" awards on medical malpractice lawsuits against physicians.

Accepted Answer

A) True 
 B)False

Question 11

If an individual is less careful about avoiding accidents or illness because she has health insurance,this is an example of:

Accepted Answer

A)  the free-rider problem. 
B)  the moral hazard problem. 
C)  the adverse selection problem. 
D)  the Coase theorem. 
A)  the free-rider problem. 
B)  the moral hazard problem. 
C)  the adverse selection problem. 
D)  the Coase theorem.

Question 12

Health maintenance organizations (HMOs):

Accepted Answer

A)  are based on the traditional fee-for-service system of paying physicians. 
B)  charge a fixed amount per member,hire many of their own physicians,and provide health services only to members. 
C)  are also known as preferred provider organizations. 
D)  are illegal in several states. 
A)  are based on the traditional fee-for-service system of paying physicians. 
B)  charge a fixed amount per member,hire many of their own physicians,and provide health services only to members. 
C)  are also known as preferred provider organizations. 
D)  are illegal in several states.

Question 13

Employer-provided private health insurance:

Accepted Answer

A)  is unique to the United States and not typically found in other countries. 
B)  is the most common form of health care provision in industrialized countries. 
C)  substantially reduces the cost of health care provision relative to national health insurance schemes. 
D)  provides a small percentage of health care spending in the United States. 
A)  is unique to the United States and not typically found in other countries. 
B)  is the most common form of health care provision in industrialized countries. 
C)  substantially reduces the cost of health care provision relative to national health insurance schemes. 
D)  provides a small percentage of health care spending in the United States.

The main purpose of HMOs and PPOs is to:

A major implication of asymmetric information is that:

The twin problems of the U.S.health care industry are:

Defensive medicine refers to the idea that:

Which of the following is not one of the ways the PPACA attempts to cover the poor?

One of the main differences between PPOs and HMOs is that:

Health savings accounts (HSAs)implemented by the 2003 Medicare law:

(Consider This)The PPACA was intended to expand health care coverage to all Americans.Which of the following was not one of problems with the law in terms of that goal?

The price of medical care in the United States has:

The federal government in 2006 enacted limits on "pain and suffering" awards on medical malpractice lawsuits against physicians.

If an individual is less careful about avoiding accidents or illness because she has health insurance,this is an example of:

Health maintenance organizations (HMOs):

Employer-provided private health insurance:

Income Inequality Poverty and Discrimination

Immigration

An Introduction to Macroeconomics

Measuring Domestic Output and National Income

Economic Growth

Business Cycles, Unemployment, and Inflation

Basic Macroeconomic Relationships

The Aggregate Expenditures Model

Aggregate Demand and Aggregate Supply

The Balance of Payments, Exchange Rates, and Trade Deficits

Money, Banking, and Financial Institutions

Money Creation

Interest Rates and Monetary Policy

Financial Economics

Extending the Analysis of Aggregate Supply

Current Issues in Macro Theory and Policy

International Trade

The Balance of Payments, Exchange Rates, and Trade Deficits

The Economics of Developing Countries

The United States and the Global Economy

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Exam 23: Health Care

The main purpose of HMOs and PPOs is to:

A major implication of asymmetric information is that:

The twin problems of the U.S.health care industry are:

Defensive medicine refers to the idea that:

Which of the following is not one of the ways the PPACA attempts to cover the poor?

One of the main differences between PPOs and HMOs is that:

Health savings accounts (HSAs)implemented by the 2003 Medicare law:

(Consider This)The PPACA was intended to expand health care coverage to all Americans.Which of the following was not one of problems with the law in terms of that goal?

The price of medical care in the United States has:

The federal government in 2006 enacted limits on "pain and suffering" awards on medical malpractice lawsuits against physicians.

If an individual is less careful about avoiding accidents or illness because she has health insurance,this is an example of:

Health maintenance organizations (HMOs):

Employer-provided private health insurance:

Income Inequality Poverty and Discrimination

Immigration

An Introduction to Macroeconomics

Measuring Domestic Output and National Income

Economic Growth

Business Cycles, Unemployment, and Inflation

Basic Macroeconomic Relationships

The Aggregate Expenditures Model

Aggregate Demand and Aggregate Supply

The Balance of Payments, Exchange Rates, and Trade Deficits

Money, Banking, and Financial Institutions

Money Creation

Interest Rates and Monetary Policy

Financial Economics

Extending the Analysis of Aggregate Supply

Current Issues in Macro Theory and Policy

International Trade

The Balance of Payments, Exchange Rates, and Trade Deficits

The Economics of Developing Countries

The United States and the Global Economy

Filters