Incentives for physician to employ higher-cost treatments

Assignment Help Business Economics
Reference no: EM13886556

Many observers claim that “fee-for-service” payments create incentives for physician to employ higher-cost treatments. Is this an intrinsic feature of FFS payment systems? If so, explain why. If not, what is the correct way to view the financial incentives FFS payment systems create for physicians choosing among different treatment options.

Reference no: EM13886556

Questions Cloud

Information about a monopsonist : You are given the following information about a monopsonist:
Emerging as the dominant form of health insurance : When managed care was first emerging as the dominant form of health insurance, new MCOs competed fiercely for new enrollees, sometimes sacrificing short-term profit to increase their volume of policyholders. Why is the number of policyholders so impo..
The elasticity of demand for a product depends : The elasticity of demand for a product depends upon the.....- Manufacturers costs- availability of substitutes, -availability of raw materials- amount the manufacturer is willing to produce? WHY?
Higher load be sign of problems in the insurance market : Economists often assume that insurers set premiums (nearly) equal to the AFP for that plan. Is that an accurate assumption? Is a higher “load” on insurance premiums necessarily a bad thing for consumers? When might a higher load be a sign of problems..
Incentives for physician to employ higher-cost treatments : Many observers claim that “fee-for-service” payments create incentives for physician to employ higher-cost treatments. Is this an intrinsic feature of FFS payment systems? If so, explain why. If not, what is the correct way to view the financial ince..
Develop general model for predicting long-run market share : A company is trying to predict the long-run market share of a new men's deodorant. Based on initial marketing studies, they believe that 35% of new purchasers in the market will ultimately try this brand. Develop a general model for predicting long-r..
Calculate consumer surplus and LWEs profit with that price : There are 10 households in Lake Wobegon, Minnesota, each with a demand for electricity of Q = 60 – P. Lake Wobegon Electric’s (LWE) cost of producing electricity is. If the regulators of LWE want to make sure that there is no deadweight loss in this ..
Determine the optimal bundle of stated prices and income : For the following utility functions and prices. Determine the optimal bundle of x1 and x2 given the stated prices and income. Illustrate the optimal consumer choice decision in each of the two cases below.
What is the relationship between GPA and Job Selection : What is the relationship between GPA and Job Selection? (inverse or direct) What are other factors that affect job selection?

Reviews

Write a Review

Business Economics Questions & Answers

  Network connection through verizon networking group

A company named Highway Data has been given a contract to install highway information signs along a 500 mile portion of interstate 555. The signs will be placed at the end of each 10 mile section. The signs cost $138 each. Data fiber optic cable comm..

  Employee improve performance

If an employee is performing below standards managers need to explain what needs to be done to improve performance, and then give the employee specific tasks and timelines to do this. Often this is done with an action plan. Do a little research and t..

  Find the equilibrium real output-interest rate-consumption

Assuming that the price level is P = 1, find the equilibrium real output, interest rate, consumption, and investment. Organize your results in the following table. (Hint: You should solve both the goods market and the money market equilibrium.) Now a..

  Q1 why the short-run demand for gasoline is less elastic

q1. why the short-run demand for gasoline is less elastic than the long-run demand when the price of gasoline rises

  Illustrate what are consumption also saving in each period

Illustrate what are consumption also saving in each period, suppose no borrowing constraints. What happens if the consumer faces a borrowing constraint that prevents her from borrowing.

  Illustrate what are economic effects of price gouging statue

many supply shipments to retailers are interrupted during a natural disaster. Assuming that the law is strictly enforced, illustrate what are the economic effects of the price gouging statue.

  Conventional measure of unemployment rate is what percent

An economy has 110,000,000 people employed 8,000,000 unemployed, and 4,000,000 discourage workers. The conventional measure of the unemployment rate is what percent?

  Curbing market power of natural monopolies

In the United States, what has been the traditional policy for curbing the market power of natural monopolies such as utilities?

  Effective manager to a moral leader

Political scientist Garry Wills stated if leader is just an expediter of what other people wish, a resource for their use, the people are not being led but serviced.

  Effective annual interest rate for the loan

If $7,000 is borrowed and repaid with four quarterly payments of $600 during the first year and four quarterly payments of $1,500 during the second year after receiving the $7,000 loan, what is the effective annual interest rate for the loan?

  Traditional products to compete in the global market place

Which of the following boosted the ability of small companies selling traditional products to compete in the global market place?

  Illustrate what pattern do you see

Now fill in the column for Marginal Cost. Illustrate what pattern do you see

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd