LSUS MHA 710 EXAM 4 HEALTHCARE ECONOMICS

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LSUS MHA 710 EXAM 4 HEALTHCARE ECONOMICS

ACTUAL EXAM QUESTIONS AND CORRECT ANSWERS

ALREADY GRADED A+

Before entering the debate of whether access to medical care is a right, it is important to distinguish between a negative right and a positive right. Which of the following statements is true?

• Consider that Peter has no money. In order for Peter to exercise his right to medical care, the

law requires that Paul pay for it. This is an example of medical care as a positive right.

• Negative rights are resource-extracting rights. They require taking resources from one person

in order for someone else to receive them.

• Coercion of some kind is essential to guarantee a negative right.
• Positive rights are freedom-preserving rights; they are enumerated in the Constitution of the

United States.

• Entitlements such as Medicare and Medicaid are examples of negative rights. - ANSWER-a.

Consider that Peter has no money. In order for Peter to exercise his right to medical care, the law requires that Paul pay for it. This is an example of medical care as a positive right.

One of the best examples of managed competition in practice is:

• an accountable care organization (ACO).
• a consumer-directed health plan (CDHP).
• a health maintenance organization (HMO). 1 / 3

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• the Federal Employee Health Benefit Plan (FEHBP).
• a preferred provider organization (PPO). - ANSWER-d. the Federal Employee Health Benefit

Plan (FEHBP).

Which of the following statements is most true regarding the experience of reforming medical care in the United States?

• Investment in electronic health records will save money.
• Moral hazard is a powerful force.
• Collective action improves efficiency.
• Providing more people with insurance coverage expands the risk pools and lowers premiums.
• Increased access to care will reduce spending. - ANSWER-b. Moral hazard is a powerful force.

How do individuals spending their own money behave differently than those spending someone else's money?

• Individuals spending someone else's money are concerned about getting the best deal so the

money will go farther.

• Individuals spending their own money look for the best value given the price.
• Individual behavior is unpredictable.
• Money is money. It does not matter whose it is, you spend it the same way. - ANSWER-b.

Individuals spending their own money look for the best value given the price.

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3 Of the four categories of the Medicaid-eligible population, which of these could benefit by opening up the health exchanges to some degree of privatization?

• Children
• The disabled
• Adults
• Medicare-eligible older adults - ANSWER-c. Adults

One of the reasons the 2008 Oregon Experiment was so important is because it(s):

• provided evidence that individuals with Medicaid had lower mortality risk than those without

insurance.

• experimental design included random selection of the treatment and control groups.
• showed that individuals with Medicaid would receive more primary and preventive care,

reducing overall health care spending relative to the uninsured.

• proved unequivocally that having Medicaid coverage resulted in better physical health

outcomes than being uninsured.

• provided solid evidence that expanding Medicaid coverage would improve health outcomes.
• ANSWER-b. experimental design included random selection of the treatment and control

groups.

Research indicates that the 2014 expansion of Medicaid has led to a number of unintended

consequences including:

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