3rd Edition Penner Test Bank

Economics and Financial Management for Nurses and Nurse Leaders 3rd Edition Penner Test Bank Contents

• Economics of Health Care
• Health Insurance and Reimbursement
• Managed Care and ACOs
• Measuring Nursing Care
• Reporting and Managing Budgets
• Budget Planning
• Special Purpose, Capital, and Other Budgets
• Cost Finding, Break Even, and Charges
• Comparing Costs and Benefits
• Writing a Business Plan
• Health Program Grant Writing
• Assessing Financial Health
• Entrepreneurship and Practice Management
• Ethical Issues and International Health Care Systems
• Health Policy and Future T

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CHAPTER 1

Economics of Health Care

• Health care is an important segment of the U.S. economy because
• The greater the quantity of hip replacements, the fewer the automobiles supplied.
• Nurses keep fighting for higher and higher wages.
• Health care costs have been completely controlled by managed care.
• National health care expenditures are an increasing portion of the GDP.

• Two influences that increase the quantity of health care demanded include
• Income and insurance.
• Ancient history and monopsony.
• Hospital revenue and transparency.
• Market power and market failure.

• Which of the following is NOT a characteristic of a market surplus?
• The product’s market price is higher than the equilibrium price.
• Producers reduce the product’s price to bring the market to competitive equilibrium.
• The quantity demanded for the

T pr E od S uc T t B ex A ce N ed K s S th E e q L u L an E tit R y .su C pp O lie M d.

• The quantity supplied exceeds the quantity demanded by consumers.

• One purpose of a union is
• To guarantee that all nurses have jobs.
• To influence the market power of nurse employers.
• To ensure that nurses are assigned only three patients per shift.
• To allow hospitals to pay nurses based only on seniority.

• One effective way to resolve a nursing shortage is
• Replace all RNs with nurse assistants.
• Ask physicians to write fewer orders.
• Increase nurses’ wages.
• Close hospitals.

• Concerns about health care costs arose
• Soon after the passage of Medicare and Medicaid.
• At the dawn of human history.
• As a result of World War II shortages.
• When U.S. health care costs surpassed 15% of GDP.

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• The price for a good or service falls. What likely happens to the quantity supplied?
• Increases.
• Levels off.
• Is not affected by price.
• Decreases.

• A good example of an input is
• A nurse giving care to a patient who is hospitalized.
• A patient arriving at the emergency room needing care.
• A patient leaving a clinic after seeing a nurse practitioner.
• A hospital building a new surgical center.

• One reason health care markets are not competitive is that
• There are often no suitable substitutes.
• Health care markets are based on communist theory.
• No one can enter or leave a health care market.
• The prices for medical care are too high.

• An example of public goods is
• A federal holiday.
• Social Security taxes.
• Market equilibrium.
• Safe drinking water.

Answer key Chapter. 1 1d, 2a, 3c, 4b, 5c, 6a, 7d, 8b, 9a, 10d

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CHAPTER 2

Health Insurance and Reimbursement

• What is an important characteristic of asymmetric information in health care markets?
• Physicians always know more about a patient’s condition than the patient.
• Patients always know more about their condition than the physician.
• One party has knowledge that the other party does not.
• One party has to pay the other party for information.

• Americans who do not have health insurance not only face increased health risks, but
• They face financial risks such as credit problems and bankruptcy.
• They are always poor and unemployed.
• They should stop trying to obtain preventive care.
• They are automatically enrolled in Medicaid.

• Nearly a third of U.S. health expenditures
• Are allocated to the care of children.
• Go to support hospital services.
• Fund public health programs.
• Are spent on pharmaceuticals.

• An example of cost shifting is
• Requiring health plan members to pay an annual premium.
• Finding ways to reduce waste and improve the collection of payments.
• Dropping out of one health plan because another plan seems better.
• Charging private payers more to cover other unreimbursed costs.

• Coinsurance represents the percent of health costs the insurer requires the consumer to pay, while
• Deductibles have been outlawed by the ACA.
• A lifetime cap is required to control excessive costs.
• A co-payment is another form of cost sharing.
• Cost sharing is not a concern if the consumer is insured.

• People need health insurance
• Whether they are healthy or unhealthy.
• Only if they suddenly feel ill.
• Once they turn 65 years.
• If it seems affordable and comprehensive.

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