Chapter 05: Economics of Health Care Delivery

NURSING 10 Chapter 05: Economics of Health Care Delivery Stanhope: Public Health Nursing: Population-Centered Health Care in the Community, 10th Edition MULTIPLE CHOICE 1. Which statement regarding poverty and health insurance is true? a. Millions of people in the United States are without health insurance. b. The poor in the United States are as healthy as persons with higher incomes. c. Persons with money or health insurance are less likely to seek health care. d. The poor are more likely to receive health care through private agencies. ANS: A In 2016, 28.1 million people were without health insurance in the United States. The poor in the United States are generally not as healthy as persons with middle or higher incomes. Persons with money and/or health insurance are more likely to seek health care. The poor are less likely to receive health care through private agencies. DIF: Cognitive level: Understanding TOP: Nursing process: Assessment MSC: NCLEX: Safe and Effective Care Environment: Management of Care 2. The allocation of scarce resources within the health care sector and the focus on resource allocation issues related to producing and distributing health care is referred to by what term? a. Economics b. Health economics c. Public health economics d. Microeconomic theory ANS: B Health economics is the allocation of scarce resources within the health care sector and the focus on resource allocation issues related to producing and distributing health care. Economics is the science concerned with the use of resources, including the production, distribution, and consumption of goods and services. Public health economics focuses on the production, distribution, and consumption of goods and services as related to public health and where limited public resources might best be spent to save lives or increase the quality of life. Microeconomic theory deals with the behaviors of individuals and organizations and the effects of those behaviors on prices, costs, and the allocation and distribution of resources. DIF: Cognitive level: Remembering TOP: Nursing process: Assessment MSC: NCLEX: Safe and Effective Care Environment: Management of Care 3. Public health economics focuses on what? a. Use of resources. b. Availability and usage of goods and services related to public health. c. Scarcity of resources in the health care industry. d. Management and use of monies to improve the health of populations. ANS: B Public health economics focuses on producing, distributing, and consuming goods and services related to public health. Economics is the science concerned with the use of resources, including the production, distribution, and consumption of goods and services. Health economics is the allocation of scarce resources within the health care sector and the focus on resource allocation issues related to producing and distributing health care. Public health finance involves the acquiring, managing, and use of monies to improve the health of populations through disease prevention and health promotion strategies. DIF: Cognitive level: Understanding TOP: Nursing process: Assessment MSC: NCLEX: Safe and Effective Care Environment: Management of Care 4. A nurse discusses services with a federal Congressional representative. Which service would the nurse most likely be discussing? a. Family planning b. Counseling c. Policy making d. Prevention of communicable diseases ANS: C Policy making is offered at the federal level. Family planning, counseling, and preventing communicable and infectious disease are offered at the state and local levels. DIF: Cognitive level: Understanding TOP: Nursing process: Implementation MSC: NCLEX: Safe and Effective Care Environment: Management of Care 5. A business offers wellness NinceRntivIes tGo itBs e.mCploMyees and then notices a decrease in the frequency of physician visits among employees. Which term best describes what has happened? a. Macroeconomic theory b. Efficiency c. Supply and demand d. Microeconomic theory ANS: D Microeconomic theory is examining the behaviors of individuals and organizations that result from trade-offs in utility and budget constraints of health care. Efficiency refers to producing maximum output using a given set of resources. Supply and demand are two basic principles of microeconomic theory. Macroeconomic theory focuses on the “big picture.” DIF: Cognitive level: Understanding TOP: Nursing process: Evaluation MSC: NCLEX: Safe and Effective Care Environment: Management of Care 6. A nurse is using the principles of supply and demand in daily practice. Which situation describes this phenomenon? a. The demand for nurses in public health is low, but the supply is high. b. When few goods or services are available, the price tends to rise. c. When supplies are low, nurses must find alternate resources. d. Lesser-developed countries receive supplies from other countries. ANS: B Supply and demand is in force when few goods or services are available, and then the price tends to rise. The other examples do not demonstrate the use of the laws of supply and demand. DIF: Cognitive level: Analyzing TOP: Nursing process: Evaluation MSC: NCLEX: Safe and Effective Care Environment: Management of Care 7. A nurse is faced with a macroeconomics issue. Which situation describes what is happening? a. The evaluation of client access to services b. A health policy that makes the development of a new program possible c. Informing clients and others of the cost of service d. The referral of clients to available services ANS: B Macroeconomics focuses on the “big picture,” such as a program, whereas microeconomics focuses on the individual or organization. DIF: Cognitive level: Analyzing TOP: Nursing process: Evaluation MSC: NCLEX: Safe and Effective Care Environment: Management of Care 8. A public health nurse applies the principles of the macroeconomics theory when working with a community. Which statement best describes why this theory would be used? a. The nurse is concerned with factors that determine prices and affect resource allocation. NURSINGTB.COM b. The nurse is concerned with the positive effect of competitiveness on health care costs. c. The nurse is concerned with the supply, demand, and costs of services available to their clients. d. The nurse is concerned with the policies to support programs to improve the health of the community. ANS: D Macroeconomic theory focuses on the “big picture”—the total, or aggregate, of all individuals and organizations (e.g., behaviors such as growth, expansion, or decline of an aggregate). The primary focuses of macroeconomics are the business cycle and economic growth. These cycles are influenced by a number of factors, such as political changes, policy changes, knowledge and technology advances, or simply the belief by a recognized business leader that the cycle is or should be shifting. Microeconomics focuses on the individual or an organization. Factors such as levels of income, employment, general price levels, and rate of economic growth are important in microeconomics. DIF: Cognitive level: Applying TOP: Nursing process: Implementation MSC: NCLEX: Safe and Effective Care Environment: Management of Care 9. A nurse implements a teen pregnancy prevention program in a high school that has been shown to decrease the rate of teen pregnancy. Which term best describes the nurse’s action? a. Effectiveness b. Efficiency c. Microeconomics d. Production ANS: A Effectiveness refers to the extent to which a health care service meets a stated goal or objective, or how well a program or service achieves what is intended. Efficiency refers to producing maximum output using a given set of resources. Microeconomic theory is examining the behaviors of individuals and organizations that result from trade-offs in utility and budget constraints of health care. Production refers to how goods are produced or created. DIF: Cognitive level: Applying TOP: Nursing process: Implementation MSC: NCLEX: Health Promotion and Maintenance 10. A nurse conducts a class at a public health clinic on breast self-examination for a group of 50 women. Which term best describes the nurse’s action? a. Supply and demand b. Macroeconomics theory c. Efficiency d. Effectiveness ANS: C Efficiency refers to producing maximum output, such as a good or service, or using a given set of resources or inputs, such as labor, time, and available money. Teaching one topic to many people is an example of this. Macroeconomic theory focuses on the “big picture.” Supply and demand is in force when few goods or services are available, and then the price tends to rise. Effectiveness reUfersSto Nthe Textent tOo which a health care service meets a stated goal or objective, or how well a program or service achieves what is intended. DIF: Cognitive level: Applying TOP: Nursing process: Implementation MSC: NCLEX: Health Promotion and Maintenance 11. A nurse is promoting efficiency within the public health department. Which activity describes the action the nurse would be taking? a. Evaluating how well a program of service achieves what was intended b. Trying new products provided by sales representatives c. Using time wisely by delegating non-nursing tasks to unlicensed care providers d. Setting up a clinic to look aesthetically pleasing to clients ANS: C Efficiency relates to producing maximal output given a set of resources. Using time wisely through delegation is the best example of using efficiency. Program evaluation, trying new products, and setting up a clinic are not examples of producing maximal output given a set of resources.