Empirical studies that suggest differences in utilization rates ...

[pane00]

Empirical studies that suggest differences in utilization rates between fee-for-service and managed care plans
 a. are unreliable due to statistical biases.
  b. conclude that financial incentives are not the reason for differences in the amount of care physician provide.
  c. show no differences in health status among patient groups.
  d. are unable to differentiate between the impacts due to financial incentives and those due to clinical rules.

Question 2

If a good is inferior and its price increases,
 a. the income effect will be positive and the substitution effect will be positive.
  b. the income effect will be negative and the substitution effect will be negative.
  c. the income effect will be positive and the substitution effect will be negative.
  d. the income effect will be negative and the substitution effect will be positive.

[FergA]

Answer to Question 1

D

Answer to Question 2

c

[pane00]

TYSM

[Liddy]

Excellent