CEBS GBA2 Terms and Definitions Exam Questions and Answers

Bounded Rationality - Answer-When the consumer is functional only up to a certain point after which his/her choices are constrained or bound by limed knowledge and understanding of the available choices. Free Market Basic Assumption - Answer-Rational consumers will make informed decisions about value, quality, and price Moral Hazzard - Answer-Consumer will spend someone else's money different than their own Transparency on cost & quality (Market forces) - Answer-helps patients be more prudent consumers of care using their own money. Medicare Part A - Answer-A 'non-needs' based benefit that includes hospital coverage Medicare Part B - Answer-A 'non-needs' based benefit that includes physician coverage Medicaid - Answer-Income needs based hospital, physician and dental coverage. Medicare Part D - Answer-Covers prescription drugs Medicare Advantage (Medicare Part C) - Answer-Alternative 'managed care' option for those Medicare eligible. Value - Answer-Personalize approach to healthcare Individual Mandate - Answer-Federal level or State level rules may require people to purchase health insurance. ACA Medicare expansion - Answer-Favorably impacts wellness and prevention initiatives and expanded pharmacy coverage and funding for value-driven research. HDHP - Answer-Type of health plan that gives consumers "skin in the game