Indicate whether each statement is true or false, and justify your answer.Both ICERs and ACERs compare two drugs on the basis of both cost and medical efficacy.
Q: Indicate whether the statement is true or false, and justify your answer.While obesity generally…
A: While obesity generally results in higher per-year medical costs, obese individuals do not typically…
Q: In the context of regulating new drugs, a type I error occurs when__ and a type II error occurs…
A: In this option 'd' is correct. A good drug get rejected and does not go the market; a bad drug get…
Q: Indicate whether the statement is true, false, or unclear, and justify your answer.Besides the…
A: Insurance customers can also use coinsurance, deductibles and monitoring techniques to decrease…
Q: Indicate whether the statement is true or false, and justify your answer.At firms that do not…
A: False, because in this case there is no wage pass- through at firms without health insurance.
Q: Indicate whether the statement is true or false, and justify your answer. Unlike with most types of…
A: Healthcare is different from other services because the definition is not clear. Every customer in…
Q: Indicate whether the statement is true or false, and justify your answer.The ratio of a disease’s…
A: Prevalence is a statistical term referring to the number of cases of a disease that occur in a…
Q: Reducing mortality from one disease necessarily increases the sum of the total mortality risk from…
A: Reducing mortality from one disease necessarily increases the sum of the total mortality risk from…
Q: Indicate whether the statement is true or false, and justify your answer.Patients are charged…
A: The patients charged based on the community rated plans on their risk. Not based on the premium.
Q: Which of the following are possible reasons why empirical studies do not always find evidence for…
A: ANSWER: OPTION(D) Risk aversion overcomes adverse selection on health…
Q: Indicate whether the statement is true or false, and justify your answer.Public health models that…
A: A public health model consist of many disciplines, health education, and welfare projects. In other…
Q: Indicate whether the statement is true or false, and justify your answer.There is a consensus among…
A: In different societies there are both rich and poor people, people having a higher income are more…
Q: Indicate whether the statement is true or false, and justify your answer.The NHS internal market…
A: True, because such negotiation contracts were intended to help make hospital cheaper and more…
Q: Indicate whether the statement is true or false, and justify your answer.Sickness funds in Bismarck…
A: In a Bismarck model, the sickness funds are private not publicly administered and they are…
Q: Indicate whether each statement is true or false, and justify your answer.There is no such thing as…
A: The given statement is false.
Q: Multiple Choice Adverse selection describes a situation where an individual's demand for insurance…
A: In a market, there are various activities that results in market failure, such that externality,…
Q: Indicate whether each statement is true or false, and justify your answer.There are several survey…
A: Answer - Survey method - It is research method which used for collecting data from a predefined…
Q: Indicate whether the statement is true or false, and justify your answer.In a typical Beveridge…
A: In a typical Beveridge system, patients must get a transfer from a general practitioner before they…
Q: Indicate whether each statement is true or false, and justify your answer.The cost-effectiveness…
A: The cost effectiveness frontier (CEF) treatment strategies for a condition are not conquered by any…
Q: rue or False (Justify your answer briefly) (a) Potential outcomes are never observed. (b) Let Y0i…
A: Since you have asked multiple questions, we will solve the first question for you. If you want any…
Q: Indicate whether each statement is true or false, and justify your answer.An ICER value indicates…
A: An ICER value (the incremental cost-effectiveness) is the ratio which is used as a decision making…
Q: the different treatment alternatives for drug and alcohol abuse. What are several strengths and…
A: Drug abuse: It refers to the situation under which the people who take drugs or alcohol will abuse…
Q: Indicate whether each statement is true or false, and justify your answer.A country operating below…
A: In this case, a country that is below its own health production frontier is supposed to be…
Q: Indicate whether each statement is true or false, and justify your answer.Empirically, VSL estimates…
A: The VSL (value of statistical life) estimates vary widely by country, income, age, and gender. There…
Q: What is your assessment of Pearson's work on efficacy so far? Are you impressed? What are the key…
A: Pearson's Assessment division is an important part of the company's overall portfolio. This services…
Q: Indicate whether the statement is true or false, and justify your answer.There were more hospitals…
A: True, because the part of this growth was prompted by the Hill – Burton act of 1946.
Q: Indicate whether each statement is true or false, and justify your answer.The Food and Drug…
A: False, because the food and drug administration (FDA) does not consider the cost-effectiveness,…
Q: In the context of regulating new drugs, a type I error occurs when and a type II error occurs when A…
A: Type 1 error means rejeccting the H0 when it is true . Whereas Type II Error :- accepting H0 when…
Q: (A positive) prevalence elasticity (of demand for self-protection) implies that when the prevalence…
A: Elasticity of demand refer to the responsiveness of the percentage change in quantity demanded to…
Q: Indicate whether the statement is true or false, and justify your answer.The RAND HIE found that…
A: The people assigned to be free health plan likely to frequently visit the hospital and also were…
Q: Indicate whether each statement is true or false, and justify your answer.Cost–benefit analysis…
A: Cost-benefit analysis (CBA) is used as medium for evaluating the economic efficiency of suggested…
Q: Indicate whether the statement is true or false, and justify your answer.Having generous insurance…
A: The given statement is false.
Q: Indicate whether the statement is true or false, and justify your answer.The RAND study was…
A: The RAND study helps to ensure the groups facing various prices were statistically equivalent.…
Q: The cost-effectiveness frontier (CEF) shows the subset of treatment strategies which are not…
A: In economics, the cost-effectiveness frontier refers to the graphical representation of cost and…
Q: Indicate whether the statement is true or false, and justify your answer.For a given disease (with…
A: Solution- Need to be evaluate - Statement is true or false For a given disease (with all else…
Q: Indicate whether the statement is true or false, and justify your answer.In the RAND HIE, the arc…
A: Here the people are prices sensitive when it comes to further urgent health care. However, the arc…
Q: Would you support mandatory health insurance based on the evidence from the Oregan Health Insurance…
A: In the experiment, the entire Oregan Health Insurance experiment has bene considered with the…
Q: Indicate whether the statement is true or false, and justify your answer.To date, no major health…
A: A market is a place where the buyers and sellers interact with each other and the exchange of goods…
Q: Indicate whether each statement is true or false, and justify your answer.The Dartmouth Atlas…
A: The Dartmouth Atlas results are proof that, health is easier and or cheaper to produce in some…
Q: Indicate whether the statement is true or false, and justify your answer.If a disease is shown to…
A: Elasticity refers to the responsiveness of one variable to changes in another variable; given that…
Q: Indicate whether the statement is true, false, or unclear, and justify your answer.The fact that…
A: Risk-averse behavior of individual states that if the person is exposed to the risk, he or she will…
Q: Indicate whether the statement is true or false, and justify your answer.Many countries in the world…
A: Many countries in the world have experienced increases in the number of obese individuals in their…
Q: Indicate whether the statement is true or false, and justify your answer.In the US, well-educated…
A: Socioeconomic status refers to the social position of an individual or household relative to other…
Q: Indicate whether each statement is true or false, and justify your answer.A dominated treatment is…
A: In developed nations, spending made on health care has an increasingly important economic issue. The…
Q: Indicate whether the statement is true or false, and justify your answer.People who drop out of high…
A: False According to Grossman Model, the marginal efficiency of investment curve shifts out with…
Q: Indicate whether each statement is true or false, and justify your answer.There are no out-of-pocket…
A: TRUE.
Q: Indicate whether the statement is true or false, and justify your answer.An hour spent exercising…
A: Free lunch zone: The term “free lunch zone” refers to the situation where there is no cost incurred.…
Q: Indicate whether the statement is true or false, and justify your answer.NICE conducts health…
A: The National Institute for Health and Care Excellence (NICE) role is to improvise the quality of…
Q: Indicate whether each statement is true or false, and justify your answer.Prospective payment…
A: Under prospective payments systems, the hospital charges a fixed price to the patient which differs…
Q: Indicate whether the statement is true or false, and justify your answer.One hundred percent of…
A: The Beveridge Model is a model of the healthcare system in which healthcare is provided to the…
Q: Indicate whether the statement is true or false, and justify your answer.Queuing care is never…
A: If an individual has an opportunity to maximize the risk intensity since it does not pay the maximum…
Indicate whether each statement is true or false, and justify your answer.
Both ICERs and ACERs compare two drugs on the basis of both cost and medical efficacy.
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- You have been recruited as an expert in health economics to recommend what is the best therapy for a group of patients. In the image below you will find the decision tree showing the probabilities for different health states and outcomes for patients undergoing two possible treatments, No drug therapy and Drug therapy. Based on the expected cost, which therapy would you recommend as the least expensive? Explain how you arrived at your recommendation and show your calculations the space provided. No drug theraphy ? Drug theraphy ? HEALTH STATES PROBABILITIES Remain in Good Health 0.5 Develop disease A 0.2 Develop disease B 0.2 Die 0.1 Remain in Good Health 0.53 Develop disease A 0.16 Develop disease B 0.22 Die 0.09 OUTCOMES (Costs) $0 $400 $300 $200 SO $800 $500 $013 2013200 P0004 Suppose that a new drug (A) has been approved to treat a life-threatening disease. The demand for that drug is shown on the accompanying graph by demand curve A Prior to approval of this drug, the only treatment for this condition was any one of several nonprescription, or over the counter, pain relievers. The demand for one brand of the several nonprescription pain relievers is also shown on the graph as demand curve B. Price 75 70 65 % 100 200 300 400 500 Quarsity At a price of $15 (the price at which the two demand curves intersect), the price elasticity of demand for the new drug is for the over-the-counter pain rellever the price elasticity of demandIn some countries, such as Canada and UK, direct-to-consumer (DTC) advertising for pharmaceutical products is illegal or tightly controlled. Which of the following is NOT a reason why DTC is tightly controlled? DTC have the potential to drive up spending on drugs and exacerbate moral hazard. DTC makes patients aware of new remedies. DTC can put a strain on doctor-patient relationship when patients demand some drugs that are not necessary or not the best options. Asymmetric information: consumers are not in a good position to determine if a drug is what they need.
- Demand studies in health care have provided estimates of both income and price elasticity. Estimates of income elasticity are usually above +1.0. Estimates of price elasticity typically range between -0.1 and -.75 (with hospital services at the lower end and elective services at the upper end). What information do these estimates convey? What does the price elasticity of demand estimates imply for government policymakers, insurance companies, and medical providers' decisions? What does the income elasticity of demand estimates imply for government policymakers, insurance companies, and medical providers' decisions?In some countries, such as Canada and UK, direct-to-consumer (DTC) advertising for pharmaceutical products is illegal or tightly controlled. Which of the following is NOT a reason why DTC is tightly controlled? Question 7 options: Asymmetric information: consumers are not in a good position to determine if a drug is what they need. DTC makes patients aware of new remedies. DTC can put a strain on doctor-patient relationship when patients demand some drugs that are not necessary or not the best options. DTC have the potential to drive up spending on drugs and exacerbate moral hazard.What effects would joining a MCO have on your clinic regarding staffing, patient volume, and financial stability?What policies and procedures should be used by the MCOs to reduce costs for their clientele?
- Indicate whether each statement is true or false, and justify your answer.A dominated treatment is one that is less cost-effective than another treatment (even though it may produce better medical outcomes).Based on the data presented in the table below estimate elasticity of demand for two price changes: a) price increase from $3 to $9 per hour; and b) price decrease from $9 to $3 per hour. Make sure to use the midpoint formula. Price Per Hour of Therapy Demand for Therapy 0 16 1 15 2 14 3 13 4 12 5 11 6 10 7 9 8 8 9 7 10 6 11 5 12 4 13 3 14 2 15 1 16 0Indicate whether the statement is true or false, and justify your answer.Physicians have no say in what prices to charge their patients.
- Which method(s) of payment to physicians will most likely result in higher total charges due to volume of services provided? Capitation. Salary. Fee-for-service (FFS). RBRVs. Methods based on patient outcomes.Indicate whether the statement is true or false, and justify your answer.An hour spent exercising always pays for itself by decreasing the time spent sick by more than an hour.Consider two treatments. Treatment 1 saves one year of life at a cost of $10,000. Treatment 2 saves ten years of life at a cost of $1,000,000. Which treatment is more cost-effective? Why?