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Issues in Economics Today
Issues in Economics Today
Robert Guell, Indiana State University

Medicaid

Multiple Choice Quiz



1

The purpose of Medicaid is to provide health insurance coverage to
A) workers.
B) the elderly.
C) the poor.
D) children.
2

Medicaid is funded by _____ and administered by _________.
A) the Federal and state governments; the states
B) the Federal government; the states
C) State governments; the Federal Government
D) The Federal and state governments; the Federal Government
3

Medicaid eligibility rules make it easier to be covered if you are a
A) child
B) woman
C) worker
D) minority
4

Doctors _____ Medicaid patients ____________.
A) may refuse to take; that have some illness and accept those with others
B) may refuse to take some; and accept others
C) must accept all; regardless of cost
D) may refuse to take; but they can not be selective
5

One reason that Medicaid is a relatively expensive is that it
A) pays for the poor's nursing home expenses.
B) pays for everyone's prescription drugs expenses.
C) reimburses hospitals for much more than it costs them to treat patients.
D) reimburses doctors for much more than it costs them to treat patients.
6

Generally, costs per patient are
A) higher for younger patients than they are for elderly patients.
B) lower for younger patients than they are for elderly patients.
C) the lowest for the oldest and the youngest patients and highest for 18 to 50 year olds.
D) about the same across the age scale.
7

Children account for ____ of the Medicaid population and account for ____ of expenses
A) 65%, 90%
B) 50%, 22%
C) 13%, 35%
D) 35%, 40%
8

Those over age 65 account for ____ of the Medicaid population and account for ____ of expenses
A) 65%, 90%
B) 50%, 90%
C) 13%, 35%
D) 35%, 40%
9

To model the impact of Medicaid on the price of health care insurance you have to
A) add the demand of the poor to the demand of the nonpoor both with and without coverage.
B) add the supply with Medicaid to the supply without Medicaid.
C) subtract the demand with Medicaid from the demand without Medicaid.
D) subtract the supply with Medicaid from the demand without Medicaid..
10

Medicaid cost-saving measures have included the use of
A) HMOs.
B) Primary Care Physicians.
C) Denying coverage to people who do not work.
D) a) and b)




McGraw-Hill/Irwin