WGU D223 HEALTHCARE POLICY AND
ECONOMICS ACTUAL TEST PAPER
COMPLETE QUESTIONS AND ANSWERS
FULL SOLUTION
●● Why are courses and even majors offered in specialized areas of
Economics such as Healthcare Economics, Agricultural Economics, or
Engineering Economics?
Answer: Specialized fields such as healthcare have distinct
characteristics which create different behaviors and structures compared
to 'standard' competitive markets.
●● Which point from the lecture best explains the importance of
learning the economics of healthcare?
Answer: The HC system is undergoing a tremendous amount of change
in technologies, market structure, and the regulatory environment
●● Which of the following best represents a major theme, one of the
most commonly mentioned ideas, from our coverage of Chapter 1 and
the introduction to healthcare economics?
Answer: A fundamental task of managers in any profession is decision
making
,●● Which of the following is the best example of positive economic
analysis?
Answer: Determining changes in state Medicaid expenditures if the
income threshold for Medicaid eligibility changes
●● Consider the relationship between brand new UCF HSA majors, the
Health Management and Informatics faculty, the HSA curriculum,
graduates of the HSA undergraduate major, healthcare companies,
patients, and medical care delivered to patients. From an Input-Output
perspective which of the following is (are) the best example(s) of inputs
to healthcare companies?
Answer: Graduates of the HSA undergraduate major
●● Both chapters commented on US health outcomes compared to other
developed countries and we saw that the US spends way more on
healthcare than other countries but for lower life expectancies compared
to most countries. Which theme from Chapter 2 does this observation
best support?
Answer: The US spends more for less than many other developed
countries
●● Section 2.4 lists six trends in the US healthcare system. Which of
these trends can best be attributable, in part, to the trend of rapid
technological change?
Answer: Slower growth of the inpatient sector
,●● The American Cancer Society recommends that most men and
women receive a colonoscopy every ten years starting at age 50. The
exam itself is painless as it is performed under general anesthesia but
cleansing the bowels for the exam requires drinking about a gallon of
foul tasting fluid and then spending the next few hours on the toilet
while the fluid does its work. Which of the following is the best
statement of a value proposition for patients of undergoing this
procedure?
Answer: The patient may not die
●● [This question refers to the CBS 60 Minutes transcript that
accompanies the Chapter 2 material in the Modules tab.] Which theme
from Chapter 2 most closely matches a major theme in this article?
Answer: The marginal spending on healthcare for very old and very sick
people does not yield the marginal increase in health outcomes we
would expect
●● In the days when doctors trained using an apprenticeship system
rather than in medical schools which billing system currently used today
was the most widely used?
Answer: Fee for service reimbursement
●● Which of the following points most closely matches the point made
in class as a cause for increasing the cost of delivering medical care?
Answer: New medical techniques required increasingly more expensive
equipment, training, and facilities
, ●● Which of the following items was NOT a contributing factor to the
desirability and availability of health insurance?
Answer: Creation of the Centers for Disease Control
●● Previous chapters have emphasized the high level of overall
spending on healthcare in the United States. Which of the following is
NOT a contributing factor to overall aggregate spending levels in the
US?
Answer: Introduction of preferred provider organizations (PPO)
●● Which of the problems with fee for service payment plans does the
preferred provider organization (PPO) most directly seek to overcome?
Answer: Reduces total costs by reducing the cost per episode of care
●● Which of the following is NOT an advantage to physicians of being
employees of a health maintenance organization (HMO) compared to
being an independent practitioner and practice owner billing under a fee
for service basis?
Answer: Higher income
●● What provision of federal law makes employer-based health
insurance even more attractive to most EMPLOYEES who receive it
than just the value of the premium?
ECONOMICS ACTUAL TEST PAPER
COMPLETE QUESTIONS AND ANSWERS
FULL SOLUTION
●● Why are courses and even majors offered in specialized areas of
Economics such as Healthcare Economics, Agricultural Economics, or
Engineering Economics?
Answer: Specialized fields such as healthcare have distinct
characteristics which create different behaviors and structures compared
to 'standard' competitive markets.
●● Which point from the lecture best explains the importance of
learning the economics of healthcare?
Answer: The HC system is undergoing a tremendous amount of change
in technologies, market structure, and the regulatory environment
●● Which of the following best represents a major theme, one of the
most commonly mentioned ideas, from our coverage of Chapter 1 and
the introduction to healthcare economics?
Answer: A fundamental task of managers in any profession is decision
making
,●● Which of the following is the best example of positive economic
analysis?
Answer: Determining changes in state Medicaid expenditures if the
income threshold for Medicaid eligibility changes
●● Consider the relationship between brand new UCF HSA majors, the
Health Management and Informatics faculty, the HSA curriculum,
graduates of the HSA undergraduate major, healthcare companies,
patients, and medical care delivered to patients. From an Input-Output
perspective which of the following is (are) the best example(s) of inputs
to healthcare companies?
Answer: Graduates of the HSA undergraduate major
●● Both chapters commented on US health outcomes compared to other
developed countries and we saw that the US spends way more on
healthcare than other countries but for lower life expectancies compared
to most countries. Which theme from Chapter 2 does this observation
best support?
Answer: The US spends more for less than many other developed
countries
●● Section 2.4 lists six trends in the US healthcare system. Which of
these trends can best be attributable, in part, to the trend of rapid
technological change?
Answer: Slower growth of the inpatient sector
,●● The American Cancer Society recommends that most men and
women receive a colonoscopy every ten years starting at age 50. The
exam itself is painless as it is performed under general anesthesia but
cleansing the bowels for the exam requires drinking about a gallon of
foul tasting fluid and then spending the next few hours on the toilet
while the fluid does its work. Which of the following is the best
statement of a value proposition for patients of undergoing this
procedure?
Answer: The patient may not die
●● [This question refers to the CBS 60 Minutes transcript that
accompanies the Chapter 2 material in the Modules tab.] Which theme
from Chapter 2 most closely matches a major theme in this article?
Answer: The marginal spending on healthcare for very old and very sick
people does not yield the marginal increase in health outcomes we
would expect
●● In the days when doctors trained using an apprenticeship system
rather than in medical schools which billing system currently used today
was the most widely used?
Answer: Fee for service reimbursement
●● Which of the following points most closely matches the point made
in class as a cause for increasing the cost of delivering medical care?
Answer: New medical techniques required increasingly more expensive
equipment, training, and facilities
, ●● Which of the following items was NOT a contributing factor to the
desirability and availability of health insurance?
Answer: Creation of the Centers for Disease Control
●● Previous chapters have emphasized the high level of overall
spending on healthcare in the United States. Which of the following is
NOT a contributing factor to overall aggregate spending levels in the
US?
Answer: Introduction of preferred provider organizations (PPO)
●● Which of the problems with fee for service payment plans does the
preferred provider organization (PPO) most directly seek to overcome?
Answer: Reduces total costs by reducing the cost per episode of care
●● Which of the following is NOT an advantage to physicians of being
employees of a health maintenance organization (HMO) compared to
being an independent practitioner and practice owner billing under a fee
for service basis?
Answer: Higher income
●● What provision of federal law makes employer-based health
insurance even more attractive to most EMPLOYEES who receive it
than just the value of the premium?
