Chapter 2
2.1) Establish a product that’s one group’s output and one other group’s enter
2.three) what’s mistaken with spending 17.2 % of GDP on healthcare?
2.four) People spend extra on smartphones than the residents of different nations do; but this sort of spending is seldom described as an issue. Why is spending extra on healthcare totally different?
2.10) a brand new remedy of cystic fibrosis prices $2 million. The life expectancy of 1,000 sufferers who had been randomly assigned to the brand new remedy elevated by three.2 years. What’s the price per life yr of the brand new remedy?
2.12) Why has the share of healthcare output produced by hospitals fallen? Will this pattern proceed? Are you able to consider a coverage or expertise change that will additional cut back hospital use? are you able to consider a coverage or expertise change that will enhance hospital use? What implications do these modifications have for the careers of healthcare managers?
Chapter three
three.1) Why is medical insurance needed?
three.2) Clarify how adversarial choice and ethical hazard are totally different, and provides an instance of every
three.three) “America is the land of the over insured, the underinsured, and the uninsured.” What do you assume these ideas imply? Why may this remark be true?
three.four) Non-public well being insurers have been sluggish to develop and undertake confirmed price containment improvements (e.g., case charges or illness administration packages). Why do you assume that is the case?
three.10) Why do employers present medical insurance protection to their workers?
three.13) Suppose that your employer supplied you $four,000 in money as an alternative of medical insurance protection. Medical health insurance I excluded from state revenue taxes and federal revenue taxes. (To maintain the issue easy, we are going to ignore Social Safety and Medicare taxes). The money can be topic to state revenue taxes (eight %) and federal revenue taxes (28%). How a lot would your after-tax revenue go up in the event you took the money reasonably than the insurance coverage?
three.14) How totally different would this calculation search for a employee who earned $500,000 and lived in Vermont? This employee would face a state revenue tax charge of 9.5% and a federal revenue tax charge of 35%. Economics homework Help
