Exam 2 Prep: MHA 710 MHA710

Exam 2 Prep: MHA 710 / MHA710

(Latest 2025 / 2026) Healthcare Economics | Questions and Verified Answers | 100% Correct | Grade A - LSU

Question:

The standard cut-off for cost per QALY is ______ per capita income.

Answer:

• equal to
• 2 times
• 3 times
• 4 times
• 5 times

Question:

Cost-effectiveness considerations are more formally integrated into health policy making in

Answer:

Australia, Europe, and Canada 1 / 3

Question:

Steps in performing a cost-effectiveness analysis include all of these EXCEPT

Answer:

prioritizing the alternative treatment options.

Question:

Researchers use cost-of-illness studies to

Answer:

• study the burden of a disease.
• determine the low-cost option to treat a disease.
• compare two or more treatment options when the medical outcome is

identical.

• increase public awareness of cost of treating certain diseases.
• do all of the above. - answer

Question:

Many economists consider medical care a superior good. Which of the following statements is true regarding a superior good?

Answer:

As consumer income increases, a larger percentage of that income is spent on superior goods AND A superior good has an income elasticity of demand greater than 1.

• / 3

Question:

A critical assumption in the model of demand and supply is the independence of demand and supply curves. If the two are not independent, a shift in the supply curve can lead to a shift in the demand curve referred to as

Answer:

supplier-induced demand.

Question:

The top ten causes of death in the United States in 2010 included all of the following except

Answer:

AIDS

Question:

1The accompanying diagram depicts the relationship between health status and medical care spending for a particular country. Which of the following statements is true?

Answer:

Social pressures will move the health care system to spend S2.

• / 3