Podcast
Questions and Answers
The supply side of the health care sector, encompassing individuals and organizations that provide health care services or produce health care goods, is referred to as:
The supply side of the health care sector, encompassing individuals and organizations that provide health care services or produce health care goods, is referred to as:
- Health care delivery (correct)
- Health care financing
- Health care efficiency
- Health care funding
The criteria required under the Canada Health Act that all residents must be provided with health insurance coverage on uniform terms and conditions is known as:
The criteria required under the Canada Health Act that all residents must be provided with health insurance coverage on uniform terms and conditions is known as:
- Comprehensiveness
- Universality (correct)
- Portability
- Public Administration
The principle that uses the idea of “if no person can be made better off without making another person worse off” is known as:
The principle that uses the idea of “if no person can be made better off without making another person worse off” is known as:
- Market failure
- Technical efficiency
- Vertical equity
- The Pareto criterion (correct)
A tax on cigarettes will reduce the number of smokers but society should not impose it because it will impose more burden on lower income individuals than higher income ones.
A tax on cigarettes will reduce the number of smokers but society should not impose it because it will impose more burden on lower income individuals than higher income ones.
Which of the following is NOT a reason for market failure:
Which of the following is NOT a reason for market failure:
What is the name for goods that are commonly consumed together (e.g., doctor visits and prescription drugs)?
What is the name for goods that are commonly consumed together (e.g., doctor visits and prescription drugs)?
Which of the following statements is correct?
Which of the following statements is correct?
According to the Grossman model of demand for health capital that uses the concept of the marginal efficiency of investment (MEI), when a person becomes older they are predicted to choose a lower health stock. If the person has a relatively elastic MEI curve then the decrease in the chosen health stock...
According to the Grossman model of demand for health capital that uses the concept of the marginal efficiency of investment (MEI), when a person becomes older they are predicted to choose a lower health stock. If the person has a relatively elastic MEI curve then the decrease in the chosen health stock...
What is the basic difference between Health Care Financing and Health Care Funding?
What is the basic difference between Health Care Financing and Health Care Funding?
One patient receives more health care than another patient even though they both had the same health care need. This is an example where the vertical equity component of procedural equity is not met.
One patient receives more health care than another patient even though they both had the same health care need. This is an example where the vertical equity component of procedural equity is not met.
Suppose two research studies investigate the correlation (not causation) between Education (E=years of schooling) and Health Care Need (HCN). Study 1 uses a linear regression to study how education is related to a person's need rated between 0=lowest need to 100=highest need (HCN is between 0 and 100), while Study 2 uses a logistic regression to study how education is related to whether a person's need is high (HCN=1) or low (HCN=0). Study 1 finds that the regression coefficient on E is equal to -4.8 with a p-value of 0.04 while study 2 finds that the odds ratio on E is equal to 0.81 with a p-value of 0.95. According to these statistics, is the effect of Education on Health Care Need similar for the two studies? Why or why not? Make sure to reference the direction of the relationship found between E and HCN in each study.
Suppose two research studies investigate the correlation (not causation) between Education (E=years of schooling) and Health Care Need (HCN). Study 1 uses a linear regression to study how education is related to a person's need rated between 0=lowest need to 100=highest need (HCN is between 0 and 100), while Study 2 uses a logistic regression to study how education is related to whether a person's need is high (HCN=1) or low (HCN=0). Study 1 finds that the regression coefficient on E is equal to -4.8 with a p-value of 0.04 while study 2 finds that the odds ratio on E is equal to 0.81 with a p-value of 0.95. According to these statistics, is the effect of Education on Health Care Need similar for the two studies? Why or why not? Make sure to reference the direction of the relationship found between E and HCN in each study.
Even though it is commonly found that people with higher education tend to have better health (and those with lower education have poorer health), the heath economist Fuchs (1982) argued the idea that a significant portion of this positive relationship was due to "spurious correlation". Does “spurious correlation” mean that education causes people to be in better health? If so, how? And if not, then what is causing the better health?
Even though it is commonly found that people with higher education tend to have better health (and those with lower education have poorer health), the heath economist Fuchs (1982) argued the idea that a significant portion of this positive relationship was due to "spurious correlation". Does “spurious correlation” mean that education causes people to be in better health? If so, how? And if not, then what is causing the better health?
What did McKeown argue were the 2 most important sources or reasons of mortality rate decline in Europe and North America from 1750 until now? How did he know this?
What did McKeown argue were the 2 most important sources or reasons of mortality rate decline in Europe and North America from 1750 until now? How did he know this?
Which aspect of the health care system is primarily responsible for raising revenues and determining who bears the burden of paying for health care?
Which aspect of the health care system is primarily responsible for raising revenues and determining who bears the burden of paying for health care?
The 5 named criteria necessary under the Canada Health Act include all of the following EXCEPT which one?
The 5 named criteria necessary under the Canada Health Act include all of the following EXCEPT which one?
Which of the following statements regarding the Pareto Criterion is TRUE?
Which of the following statements regarding the Pareto Criterion is TRUE?
A tax on cigarettes will raise the price of cigarettes which will cause a reduction in the demand for cigarettes.
A tax on cigarettes will raise the price of cigarettes which will cause a reduction in the demand for cigarettes.
Which of the following does NOT account for the reason that a demand curve is downward sloping?
Which of the following does NOT account for the reason that a demand curve is downward sloping?
Which of the following statements regarding “budget constraints” from microeconomic theory is NOT TRUE?
Which of the following statements regarding “budget constraints” from microeconomic theory is NOT TRUE?
McKeown showed that majority of historically rapidly falling rates of mortality for common diseases occurred:
McKeown showed that majority of historically rapidly falling rates of mortality for common diseases occurred:
According to the standard Grossman model of demand for health capital that uses the concept of the marginal efficiency of investment (MEI), when a person receives a wage or income increase which of the following is FALSE?
According to the standard Grossman model of demand for health capital that uses the concept of the marginal efficiency of investment (MEI), when a person receives a wage or income increase which of the following is FALSE?
Canada's health care system is predominantly publicly financed and publicly delivered.
Canada's health care system is predominantly publicly financed and publicly delivered.
The concept of the social gradient in health means that there exists a social cost curve which lies above the private marginal cost curve (commonly known as the supply curve) which shows the full cost of supply.
The concept of the social gradient in health means that there exists a social cost curve which lies above the private marginal cost curve (commonly known as the supply curve) which shows the full cost of supply.
Canada's health care system is predominantly:
Canada's health care system is predominantly:
The concept that you must take the value of what must be given up (the next best alternative) as the result of a decision is known as:
The concept that you must take the value of what must be given up (the next best alternative) as the result of a decision is known as:
A cost-effective efficient allocation of goods and services must also be:
A cost-effective efficient allocation of goods and services must also be:
A tax on cigarettes will reduce smoking demand but society should not impose it because it will impose more burden on lower income individuals than higher income ones.
A tax on cigarettes will reduce smoking demand but society should not impose it because it will impose more burden on lower income individuals than higher income ones.
Which of the following statements regarding the Potential Pareto Criterion is True?
Which of the following statements regarding the Potential Pareto Criterion is True?
Assume that when a patient needs health care, they require services from both doctors and nurses. This relationship is best summarized as
Assume that when a patient needs health care, they require services from both doctors and nurses. This relationship is best summarized as
Economists consider monopolies and taxes to be bad primarily because:
Economists consider monopolies and taxes to be bad primarily because:
Which of the following does NOT account for the reason that a supply curve is upward sloping:
Which of the following does NOT account for the reason that a supply curve is upward sloping:
An economic evaluation reports that a new smoking cessation/quitting treatment costs $500 per smoker treated. This is an example of a:
An economic evaluation reports that a new smoking cessation/quitting treatment costs $500 per smoker treated. This is an example of a:
Which of the following concepts is least applicable (i.e., not applicable) when health economists' study which of two medicines should the Canadian public health care system support?
Which of the following concepts is least applicable (i.e., not applicable) when health economists' study which of two medicines should the Canadian public health care system support?
Which of the following statements regarding economic evaluation is not correct?
Which of the following statements regarding economic evaluation is not correct?
Assume that the table above is an excerpt from a report comparing the actual allocation of health care funds to estimates of what the funding allocation should be based on need. Using the above table, is the allocation across health areas consistent with horizontal and vertical equity? Why?
Assume that the table above is an excerpt from a report comparing the actual allocation of health care funds to estimates of what the funding allocation should be based on need. Using the above table, is the allocation across health areas consistent with horizontal and vertical equity? Why?
Suppose a Canadian health policy maker finds an academic journal article that reports the following statistical regression of education on health status based on a very recent random sample of Canadian individuals. According to the regression results below, would public policies that increase individual education levels be expected to lead to increases in individual health levels? Why? Discuss from the point of view of a knowledgeable health economist (based on our course content).
Suppose a Canadian health policy maker finds an academic journal article that reports the following statistical regression of education on health status based on a very recent random sample of Canadian individuals. According to the regression results below, would public policies that increase individual education levels be expected to lead to increases in individual health levels? Why? Discuss from the point of view of a knowledgeable health economist (based on our course content).
Two issues that arise in economic evaluation is the concept of QALY and the need to use discounting. “QALY” means that health consequences are converted to quality- adjusted life-years used mostly in cost-benefit analysis while “discounting” means that we must take account for inflation over time when costs and health consequences are experienced across time and into the future.
Two issues that arise in economic evaluation is the concept of QALY and the need to use discounting. “QALY” means that health consequences are converted to quality- adjusted life-years used mostly in cost-benefit analysis while “discounting” means that we must take account for inflation over time when costs and health consequences are experienced across time and into the future.
Assume that the table above is an excerpt from a report comparing the actual allocation of health care funds to estimates of what the funding allocation should be based on need. Using the above table, what can be inferred regarding the distributional equity of actual allocations in the districts?
Assume that the table above is an excerpt from a report comparing the actual allocation of health care funds to estimates of what the funding allocation should be based on need. Using the above table, what can be inferred regarding the distributional equity of actual allocations in the districts?
Suppose a Canadian health policy maker finds an academic journal article that reports the following statistical regression of income and education on health status based on a very recent random sample of Canadian individuals. According to the regression results below, would public policies that increase individual education levels be expected to lead to increases in individual health levels? Discuss from the point of view of a knowledgeable health economist [Feel free to answer in paragraph form or in point form using issues and terminology discussed in class and how they pertain to the link between education and health that is estimated in question].
Suppose a Canadian health policy maker finds an academic journal article that reports the following statistical regression of income and education on health status based on a very recent random sample of Canadian individuals. According to the regression results below, would public policies that increase individual education levels be expected to lead to increases in individual health levels? Discuss from the point of view of a knowledgeable health economist [Feel free to answer in paragraph form or in point form using issues and terminology discussed in class and how they pertain to the link between education and health that is estimated in question].
One patient receives more health care than another patient even though they both had the same health care need. This is an example where the vertical equity component of procedural equity is not met. True or False and Why?
One patient receives more health care than another patient even though they both had the same health care need. This is an example where the vertical equity component of procedural equity is not met. True or False and Why?
Health expenditures as a percentage of GDP have been on the rise in Canada since the 1960s. Which of the following statements is not a valid reason explaining the increases in past years?
Health expenditures as a percentage of GDP have been on the rise in Canada since the 1960s. Which of the following statements is not a valid reason explaining the increases in past years?
Which of the following ideas/topics cannot be used to explain the following statement: “Many people pass up free health care because the wait times and travel costs are too high”?
Which of the following ideas/topics cannot be used to explain the following statement: “Many people pass up free health care because the wait times and travel costs are too high”?
Which of the following is not a valid example of how health care is different from most other economic goods?
Which of the following is not a valid example of how health care is different from most other economic goods?
Which of the following is not a criterion of the Canada Health Act:
Which of the following is not a criterion of the Canada Health Act:
The criterion of “portability” under the Canada Health Act refers to the fact that the provincial health insurance plan must cover non-residents who are visiting the province.
The criterion of “portability” under the Canada Health Act refers to the fact that the provincial health insurance plan must cover non-residents who are visiting the province.
In the view of economists “health” and “health care” are two different things.
In the view of economists “health” and “health care” are two different things.
The decision of a patient to take 8 pills for treatment because the average benefit per pill is greater than the average cost per pill is an example of a consumer using marginal decision making.
The decision of a patient to take 8 pills for treatment because the average benefit per pill is greater than the average cost per pill is an example of a consumer using marginal decision making.
The topic of health care funding deals with the various ways that revenues can be raised to pay for health care provision.
The topic of health care funding deals with the various ways that revenues can be raised to pay for health care provision.
In topic 1 we discussed how some countries (such as Japan) have devoted their health care system to providing significantly more acute short term hospital beds than most other OECD countries. This is likely due to the way that these countries (such as Japan) finance their health care differently from other OECD countries.
In topic 1 we discussed how some countries (such as Japan) have devoted their health care system to providing significantly more acute short term hospital beds than most other OECD countries. This is likely due to the way that these countries (such as Japan) finance their health care differently from other OECD countries.
Suppose two research studies investigate the correlation (not causation) between Education (E=years of schooling) and Health Care Need (HCN). Study 1 uses a linear regression to study how education is related to a person's need rated between 0=lowest need to 100=highest need(HCN is between 0 and 100), while Study 2 uses a logistic regression to study how education is related to whether a person's need is high(HCN=1) or low(HCN=0). Study 1 finds that the regression coefficient on E is equal to-4.8 with a p-value of 0.04 while study 2 finds that the odds ratio on E is equal to 0.81 with a p-value of 0.95. According to these statistics, is the effect of Education on Health Care Need similar for the two studies? Why or why not? Make sure to reference the direction of relationship found between E and HCN in each study.
Suppose two research studies investigate the correlation (not causation) between Education (E=years of schooling) and Health Care Need (HCN). Study 1 uses a linear regression to study how education is related to a person's need rated between 0=lowest need to 100=highest need(HCN is between 0 and 100), while Study 2 uses a logistic regression to study how education is related to whether a person's need is high(HCN=1) or low(HCN=0). Study 1 finds that the regression coefficient on E is equal to-4.8 with a p-value of 0.04 while study 2 finds that the odds ratio on E is equal to 0.81 with a p-value of 0.95. According to these statistics, is the effect of Education on Health Care Need similar for the two studies? Why or why not? Make sure to reference the direction of relationship found between E and HCN in each study.
Allocate equal amounts of goods to those who are situated equally with respect to the relevant characteristics is an example of:
Allocate equal amounts of goods to those who are situated equally with respect to the relevant characteristics is an example of:
People with more income pay more money towards public health care finance than do people with lower income when we believe that individuals' ability to pay should be used to judge equity of health care finance. This is most likely an example of:
People with more income pay more money towards public health care finance than do people with lower income when we believe that individuals' ability to pay should be used to judge equity of health care finance. This is most likely an example of:
Scarcity of resources results from inefficiency.
Scarcity of resources results from inefficiency.
There is no opportunity cost for applications of resources that are technologically efficient, cost-effective, and allocatively efficient.
There is no opportunity cost for applications of resources that are technologically efficient, cost-effective, and allocatively efficient.
An equitable distribution of a good often implies an unequal distribution of the good among members of society.
An equitable distribution of a good often implies an unequal distribution of the good among members of society.
An efficiently cost-effective allocation of productive resources must also be technologically efficient.
An efficiently cost-effective allocation of productive resources must also be technologically efficient.
Pareto efficient allocations always maximize welfare in society.
Pareto efficient allocations always maximize welfare in society.
Two issues that arise in economic evaluation is the concept of QALY and the need to use discounting. QALY means that health consequences are converted to quality-adjusted life-years used mostly in cost-benefit analysis while discounting means that we must take account for inflation over time when costs and health consequences are experienced across time and into the future.
Two issues that arise in economic evaluation is the concept of QALY and the need to use discounting. QALY means that health consequences are converted to quality-adjusted life-years used mostly in cost-benefit analysis while discounting means that we must take account for inflation over time when costs and health consequences are experienced across time and into the future.
Suppose a Canadian health policy maker finds an academic journal article that reports the following statistical regression of income and education on health status based on According to the regression results below, would public policies that increase individual education levels be expected to lead to increases in individual health levels?
Suppose a Canadian health policy maker finds an academic journal article that reports the following statistical regression of income and education on health status based on According to the regression results below, would public policies that increase individual education levels be expected to lead to increases in individual health levels?
Suppose two research studies investigate the correlation (not causation) between Education (E=years of schooling) and Health Care Need (HCN). According to these statistics, is the effect of Education on Health Care Need similar for the two studies? Why or why not? Make sure to reference the direction of the relationship found between E and HCN in each study.
Suppose two research studies investigate the correlation (not causation) between Education (E=years of schooling) and Health Care Need (HCN). According to these statistics, is the effect of Education on Health Care Need similar for the two studies? Why or why not? Make sure to reference the direction of the relationship found between E and HCN in each study.
Flashcards
Health Care Delivery
Health Care Delivery
Individuals and organizations providing health care services or producing health care goods.
Universality (Canada Health Act)
Universality (Canada Health Act)
Ensuring all residents have health insurance coverage on uniform terms and conditions.
Pareto Criterion
Pareto Criterion
No one can be made better off without making another worse off.
Normative Economic Statement
Normative Economic Statement
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Market Failure
Market Failure
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Complementary Goods
Complementary Goods
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Social gradient in health
Social gradient in health
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Grossman Model & Aging
Grossman Model & Aging
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Healthcare Financing
Healthcare Financing
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Healthcare Funding
Healthcare Funding
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Vertical Equity
Vertical Equity
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Horizontal Equity
Horizontal Equity
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Spurious Correlation
Spurious Correlation
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McKeown's Mortality Factors
McKeown's Mortality Factors
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Comprehensiveness (Canada Health Act)
Comprehensiveness (Canada Health Act)
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Portability (Canada Health Act)
Portability (Canada Health Act)
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Public Administration (Canada Health Act)
Public Administration (Canada Health Act)
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Technical Efficiency
Technical Efficiency
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Negative Externality
Negative Externality
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Monopoly
Monopoly
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Information Asymmetry
Information Asymmetry
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Substitute Goods
Substitute Goods
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Distributional Equity
Distributional Equity
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Procedural Equity
Procedural Equity
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Non-Causal correlation
Non-Causal correlation
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Positive Economic Statement
Positive Economic Statement
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Study Findings
Study Findings
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Individual Preferences
Individual Preferences
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Benefits of Modern medicine
Benefits of Modern medicine
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Marginal Product Of Health Care
Marginal Product Of Health Care
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Equity (Canada Health Act)
Equity (Canada Health Act)
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Law of Demand
Law of Demand
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Diminishing Marginal Utility
Diminishing Marginal Utility
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Budget Constraint
Budget Constraint
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McKeown's Findings
McKeown's Findings
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Marginal Efficiency of Investment (MEI)
Marginal Efficiency of Investment (MEI)
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Private Health Care Delivery (Canada)
Private Health Care Delivery (Canada)
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Odds Ratio
Odds Ratio
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P-Value
P-Value
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R-squared
R-squared
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Explain the 'social gradient in health'
Explain the 'social gradient in health'
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What can be said from the statistics for education?
What can be said from the statistics for education?
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What can be said from the statistics for education?
What can be said from the statistics for education?
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Public Administration
Public Administration
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Portability
Portability
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Comprehensiveness
Comprehensiveness
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Externalities
Externalities
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Having a monopoly
Having a monopoly
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Substitute good commodities.
Substitute good commodities.
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Canada's Health System
Canada's Health System
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Opportunity Cost
Opportunity Cost
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Technological Efficiency
Technological Efficiency
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Allocative Efficiency
Allocative Efficiency
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Potential Pareto Criterion
Potential Pareto Criterion
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Complementary Goods/Services
Complementary Goods/Services
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Deadweight Loss
Deadweight Loss
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Burden on the poor
Burden on the poor
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Supply Curve
Supply Curve
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Diminishing Marginal Returns
Diminishing Marginal Returns
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Reading a graph
Reading a graph
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Cost-Effectiveness Analysis
Cost-Effectiveness Analysis
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ICER
ICER
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Cost-Utility Analysis
Cost-Utility Analysis
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Needs-Based Allocation
Needs-Based Allocation
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Canadian Health Policy
Canadian Health Policy
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Education related to health
Education related to health
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Determining p-Value
Determining p-Value
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Canadian Healthcare Financing
Canadian Healthcare Financing
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Opportunity Cost
Opportunity Cost
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Cost-Effective Allocation
Cost-Effective Allocation
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Equity Evaluation
Equity Evaluation
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Cost-Effectiveness Accuracy
Cost-Effectiveness Accuracy
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Cost-Utility evaluation.
Cost-Utility evaluation.
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Relative Price of Healthcare
Relative Price of Healthcare
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Higher Quality Healthcare
Higher Quality Healthcare
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Increased Health Service Usage
Increased Health Service Usage
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Rational Decision Making
Rational Decision Making
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Marginal Analysis
Marginal Analysis
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Demand Insensitivity to Price
Demand Insensitivity to Price
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Non-Profit Firms in Healthcare
Non-Profit Firms in Healthcare
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Uncertainty in Healthcare
Uncertainty in Healthcare
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Equity and Need in Healthcare
Equity and Need in Healthcare
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Accessibility (Canada Health Act)
Accessibility (Canada Health Act)
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Portability Defined
Portability Defined
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Health Status
Health Status
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Health Care
Health Care
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Utility
Utility
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Marginal Decision Making
Marginal Decision Making
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Marginal Benefit
Marginal Benefit
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Marginal Cost
Marginal Cost
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Financing Examples
Financing Examples
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Funding Defined
Funding Defined
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Funding Allocation
Funding Allocation
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Funding Trade Off
Funding Trade Off
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Fiscal Resources
Fiscal Resources
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Fiscal Organization
Fiscal Organization
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Resources raised through financing
Resources raised through financing
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Defining short term care
Defining short term care
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Inequity
Inequity
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Scarcity
Scarcity
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Efficiency
Efficiency
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Cost-Effectiveness Efficiency
Cost-Effectiveness Efficiency
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Equitable Distribution
Equitable Distribution
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Pareto Efficiency
Pareto Efficiency
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Cost-Effectively Efficient
Cost-Effectively Efficient
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Vertical Equity Within Area
Vertical Equity Within Area
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Vertical Equity Across Areas
Vertical Equity Across Areas
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Horizontal equity in healthcare
Horizontal equity in healthcare
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Meeting efficiency types
Meeting efficiency types
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Productive Resources
Productive Resources
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Distribution of a good
Distribution of a good
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Pareto efficient allocations
Pareto efficient allocations
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Programs
Programs
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Programme D
Programme D
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Goods and apples
Goods and apples
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Study Notes
- Allocating equal amounts of goods to those similarly situated exemplifies horizontal equity.
- Requiring higher-income individuals to contribute more to public health finance aligns with judging financial equity based on ability to pay, known as vertical equity.
- Resource scarcity is a fundamental economic premise, while inefficiency arises from resource utilization. Efficient use involves technical efficiency (no wasted resources), cost-effectiveness efficiency (minimized costs), and allocative efficiency (alignment with consumer value).
- Opportunity cost is inherent in all resource applications; a resource allocation's value must exceed its next best use, especially when meeting efficiency standards.
- Equitable distribution implies potential inequality, considering factors like need, cost, divisibility, and scarcity, allowing unequal distributions to be deemed equitable.
- Cost-effective resource allocation necessitates technological efficiency to minimize waste and achieve lowest costs.
- Pareto efficient allocations may achieve allocative efficiency based on normative views. Pareto efficiency occurs when no one can improve without worsening another's situation, implying no waste.
- In a two-person economy with apples and oranges, Pareto efficiency is reached when one person has all desired apples and the other all oranges, as no mutually beneficial trade exists beyond this point
- The supply side of healthcare is referred to as health care delivery
- Opportunity cost is the value of what you give up for the next best alternative
- The test uses potential allocation to make people worse off
- Doctors and nurses are complementary goods/services in health care
- Cost benefit analysis calculates the net benefit of an intervention in dollar values
- The social gradient in health is related to inequalities in social status, but not if an externality is involved
- Raising revenues to pay for health care is called "health care financing"
- The activity of raising revenues to pay for health care is called “health care financing” with health care publicly financed in Canada through taxation
- Health care delivery refers to physicians, hospitals and pharmacies
- Public policies that increase individual education levels are shown not to lead to increases in health levels
- It has been found that, if anything, higher education levels are associated with lower health statuses, not the other way around
- The negative correlation found between Education and Health is significant
- The question above speaks to a causal relationship between Education and Health (if we increase someone's education will their health increase?) while the results appear to be simple correlation only
- Age, Income and other important correlated variables are not included in the regression
- High r-squared value implies that a lot of the variation in health data is explained
- The 5 named criteria necessary under the Canada Health Act include all of the following EXCEPT equity
- Delivery, Financing, Funding and Efficiency are aspect of the health care system whose primary responsibility is raising revenues and determining who bears the burden of paying for health care
- Budget constraints that are not true are those that state budget constraints are curved (bowed inward)
- McKeown showed that majority of historically rapidly falling rates of mortality for common diseases occurred before the invention of modern medicine became available
- According to the standard Grossman model of demand for health capital that uses the concept of the marginal efficiency of investment (MEI), when a person receives a wage or income increase which of the following is FALSE: The person's marginal cost r+8 line shifts downwards
Production Method Efficiency in Nursing Homes
- Programs A, C, and D exhibit technical efficiency, while Program B is technically inefficient due to higher nurse usage for equivalent results to C.
- Program D demonstrates cost-effective efficiency with the lowest total cost among technically efficient options.
Health Care Utilization Equity Between Toronto and Owen Sound
- Horizontal equity is absent as Toronto residents receive more surgeries regardless of need.
- Vertical equity is met within each area, with higher need correlating to higher utilization but across areas it is not met.
Health Care Delivery
- The supply side of the health care sector is health care delivery
Pareto Criterion
- The Pareto Criterion is used as a possible determination of allocative efficiency
A tax on Cigarettes
- The tax on cigarettes is both a positive and normative economic statement with a negative externality
The Canada Health Act
- Health care insures all residents with uniform terms and conditions which represents universality
The Canadian Health Care System
- The Canadian health care system is predominantly publicly financed (through taxation), and privately delivered (hospitals, physicians, and pharmaceutical firms are private)
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Description
Study notes for Health Economics AP/ECON 3510, Test #1, covering topics such as health care sector supply side, Canada Health Act criteria, Pareto criterion, and cigarette tax burden. Includes key concepts and principles discussed in the course.
