HCA 6013 Dynamics of Healthcare Markets
Module Seven: Healthcare Supply — The Profit Motive in Healthcare
Study Questions — Instructions:
Answer the questions 1–8 below in detail, using course materials, module supplemental
readings, and reputable external sources. Cite sources in APA style and include a
reference list at the end. Place all answers in this single document.
1) Identify the two assumptions of firms in competitive market theory that the authors
argue are violated and describe how they may be violated in healthcare.
2) Summarize the characteristics of for-profit and not-for-profit healthcare entities.
3) What are some of the current impacts of private equity on healthcare? How do their
strategies differ from traditional for-profit healthcare entities? Use the supplemental
articles in the module and/or the Commonwealth Fund’s The Dose podcast.
4) Briefly describe the differing results of research presented in the chapter in (quality,
trustworthiness, prices and efficiency) between for-profit and nonprofit health entities.
5) Using the Sage Price Transparency Data Dashboard and the “hospital” tab, investigate
and report the requested data from 2 non-profit hospitals and 2 for-profit hospitals in your
city, state, or region. Below the table, write a paragraph briefly interpreting the data.
Sage Transparency Dashboard Data Comparison | NP1 | NP2 | FP1 | FP2
Name
City/County, State
Hospital operating margin
Payer Mix % Medicaid
Payer Mix % Charity Care
SCHIP & Low Income Gov. Program
, Totaled Qualifying NFP Care: Charitable and Medicaid
6) Describe the process for the development of new drugs/pharmaceuticals.
7) Senate Bill (S.229) DTC Act of 2025: Read the description. Using the arguments in
the chapter on what is positive and/or negative about DTC, present an argument for or
against the DTC Act of 2025. Using economic theory, predict what the demand and price
response of DTC drugs might be if it is enacted.
8) One of our obstacles to addressing the commercialization of healthcare is not knowing
enough about it. What study should be or has been completed with US midlevel
healthcare administrators as the population studied?
Module Seven: Healthcare Supply — The Profit Motive in Healthcare
Study Questions — Instructions:
Answer the questions 1–8 below in detail, using course materials, module supplemental
readings, and reputable external sources. Cite sources in APA style and include a
reference list at the end. Place all answers in this single document.
1) Identify the two assumptions of firms in competitive market theory that the authors
argue are violated and describe how they may be violated in healthcare.
2) Summarize the characteristics of for-profit and not-for-profit healthcare entities.
3) What are some of the current impacts of private equity on healthcare? How do their
strategies differ from traditional for-profit healthcare entities? Use the supplemental
articles in the module and/or the Commonwealth Fund’s The Dose podcast.
4) Briefly describe the differing results of research presented in the chapter in (quality,
trustworthiness, prices and efficiency) between for-profit and nonprofit health entities.
5) Using the Sage Price Transparency Data Dashboard and the “hospital” tab, investigate
and report the requested data from 2 non-profit hospitals and 2 for-profit hospitals in your
city, state, or region. Below the table, write a paragraph briefly interpreting the data.
Sage Transparency Dashboard Data Comparison | NP1 | NP2 | FP1 | FP2
Name
City/County, State
Hospital operating margin
Payer Mix % Medicaid
Payer Mix % Charity Care
SCHIP & Low Income Gov. Program
, Totaled Qualifying NFP Care: Charitable and Medicaid
6) Describe the process for the development of new drugs/pharmaceuticals.
7) Senate Bill (S.229) DTC Act of 2025: Read the description. Using the arguments in
the chapter on what is positive and/or negative about DTC, present an argument for or
against the DTC Act of 2025. Using economic theory, predict what the demand and price
response of DTC drugs might be if it is enacted.
8) One of our obstacles to addressing the commercialization of healthcare is not knowing
enough about it. What study should be or has been completed with US midlevel
healthcare administrators as the population studied?
