Each of the five questions below is worth 5 points. You need to answer all five questions. It is expected that it would take youat least onesingle spaced typed page to answer a question. (Assuming one inch margins and 12 pt font.)All answers must be in one Word file. Handwritten work scanned into a Word document is not acceptable.Please be sure to provide citations for your sources. You must submit all answers in one Word file (.doc or .docx).
1. Discuss theeconomicreasons for government intervention in a market based health care system.Please be sure to incorporate the reasons identified in your text. Provide a critique of these reasons.
2. Capturing economies of scale is often offered as a reason for the consolidation of hospitals. In theory, if there are economics of scale, consolidation should result in cost savings for hospitals. What do the empirical studies mentioned in your text imply about consolidation for hospitals and cost savings? If not for cost savings, what other benefits are there for consolidations of hospitals.?
3. Discuss the structure, conduct and performance of the pharmaceutical industry. How does its structure, conduct and performance impact patients? Given the structure, conduct and performance of the pharmaceutical industry, predict the responsiveness of the industry to a common disease as compared to a very rare disease. Assume both diseases have very similar impacts on patients.
4.Identify and explain why so few people purchase long-term care insurance.
5.Use the quality/quantity maximization model to explain why studies have shown the following: A)Not-for-profit psychiatric hospitals are no more efficient than their for-profit counterparts after controllingfor for quality. B) Not-for-profit hospitals provide a higher quality of care as measured by the number of violations and complaintsreceived.
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