Exam 2) MHA 710 Exam 2: Questions & Answers: Updated Solution

The economic argument for legalizing drugs: (Ans - is based on the assumption that for most non-users, the demand is relatively price elastic. A prepaid hospital plan created by Baylor Hospital for a group of Dallas public school teachers in 1929 is considered by many to be the forerunner of: (Ans - Blue Cross In 2001, life expectancy at birth in the United States was 77.2 years, increasing to 78.7 years in 2018. However, there remains a racial gap between Blacks and Whites. White life expectancy in 2018 was at 78.6 years, and Black life expectancy at 74.7 years. Causes of mortality reveals an interesting picture. Among Whites, __________ have a much higher rate than in Blacks, where __________ are much more prevalent. (Ans - suicides and chronic respiratory disease; homicides and heart disease All of the following are true for indemnity insurance except that: (Ans – it serves as the basis for all health insurance coverage in most developed countries, including the United States. The U.S. perinatal mortality rate (late fetal deaths plus deaths in the neonatal period) was 5.9 in 2018, lower than those found in: (Ans - France, Switzerland, and the United Kingdom. What is responsible for over one-half of the gap in life expectancy between the U.S. and Canada? (Ans - Obesity Moral hazard and adverse selection are both examples of: (Ans - asymmetric information. In 2018, the overall obesity rate in the United States (as measured by BMI 30) is over _____ percent, with rates reaching higher than _____ percent among African American women. (Ans – 40; 50 All of the statements below are true according to the Organization for Economic Cooperation and Development, EXCEPT? (Ans - There is very little difference in the prevalence of smoking between males and females worldwide. Suppose a group of 100 people seeks out an insurance company to underwrite health insurance for its members. The expected medical spending for the group is $150,000. If an additional 10 people who have expected medical spending of $5,000 per person on average join the group, the new premium will be approximately: (Ans - $2,139. Eliminating health disparities across various population groups requires that we: (Ans - address the source of disparities in behavioral, socioeconomic, and environmental factors. The nature of health care delivery will be different in the future due to: (Ans - a rising percentage of elderly in the total population. According to Grossman (1972), how is the demand for medical care determined? (Ans - It is derived from the demand for health Suppose your assignment is to use the standard time trade-off approach to measure quality of life. You are given the following information: An individual is faced with living the remaining 10 years of their life suffering from severe osteoporosis. The individual reveals that they 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 a chronic health state relative to perfect health? (Ans - 0.6 The standard cut-off for cost per quality-adjusted life year (QALY) used by most governmental decision makers is set in terms of a multiple of national per capita income. The value of the threshold is usually what percent of national per capita income? (Ans - 100 Researchers use cost-of-illness studies for all of the following except to: (Ans - compare the relative efficiency of treating various conditions