The direct costs in an economic evaluation include the all the following except: - Answers reduced
productivity at work
When measuring effectiveness of a treatment, surrogate measures reflect clinical efficacy and include: -
Answers bone-mass density (BMD)
Which of the following measures of effectiveness is not a surrogate measure? - Answers Hip fracture
The intangible costs associated with reduced quality of life include: - Answers Pain and suffering
Suppose that you are asked to use the standard time trade-off approach to measuring quality of life and
are given the following information. An individual is faced with living the remaining 10 years of her life
suffering from severe osteoporosis. She reveals that she would be willing to give up four of those years
to live the remaining six in perfect health. What is the utility of one year in the chronic health state
relative to perfect health? - Answers 0.6
Researchers estimate QALYs in a number of different ways. One popular approach is called the -
Answers standard gamble
The standard cut-off for cost per QALY is ______ per capita income. - Answers equal to
Cost-effectiveness considerations are more formally integrated into health policy making in - Answers
Australia, Europe, Canada
Steps in performing a cost-effectiveness analysis include all of these EXCEPT - Answers prioritizing the
alternative treatment options
Researchers use cost-of-illness studies to - Answers do all of the above
(a. study the burden of a disease
b. determine the low-cost option to treat a disease
c. compare two or more treatment options when the medical outcome is identical
d. increase public awareness of cost of treating certain diseases)
Many economists consider medical care a superior good. Which of the following statements is true
regarding a superior good? - Answers Both c and d are true of superior goods
(As consumer income increases, a larger percentage of that income is spent on superior goods
A superior good has an income elasticity of demand greater than 1)
, A critical assumption in the model of demand and supply is the independence of demand and supply
curves. If the two are not independent, a shift in the supply curve can lead to a shift in the demand curve
referred to as - Answers supplier-induced demand.
The top ten causes of death in the United States in 2010 included all of the following except - Answers
AIDS
The accompanying diagram depicts the relationship between health status and medical care spending
for a particular country. Which of the following statements is true? - Answers Social pressures will move
the health care system to spend S2.
Health care that actually harms the patient, such as an adverse reaction to a prescription drug, is called -
Answers iatrogenic disease
The number one cause of death in the United States in 1980 was - Answers heart disease
Health insurance features that tend to reduce moral hazard include - Answers all of the above
(a. deductibles, coinsurance, copayments)
The concept quality-adjusted life year (QALY) - Answers is used extensively to evaluate medical care
resource allocation within government-run programs on fixed budgets, especially in Europe.
Suppose the recipient of a kidney transplant has stated that she would prefer 5 years of perfect health
to the 10 years she expects to live with her transplant. For this person, each of her remaining 10 years of
life has a QALY value of - Answers 5
If health care spending is already on the flat-of-the-curve, it may not be possible to buy improved health
status by increasing spending. In this situation, the best way to improve health status may be to -
Answers improve life-style decisions by reducing smoking, alcohol consumption, and drug use
McKeown's (1976) research attributed the majority of the secular decline in mortality rates in Europe
and North America to - Answers better nutrition and housing
Factors affecting medical care demand include - Answers all of the above
(health status, demographic characteristics, economic standing, physician factors)
A physician's ability to induce demand is greatly enhanced when - Answers patients have difficulty
gathering and processing information
The RAND Health Insurance Study - Answers was the most extensive controlled experiment in health
insurance ever conducted in the United States
The following diagram depicts the market for physicians' services that is originally in equilibrium at point
a with demand and supply at D0 and S0. As physician supply increases from S0 to S1, a concurrent shift
in demand from D0 to D1 - Answers both a and b