A System of Healthcare Payment or Delivery Arrangements in Which

question 37

Multiple Choice

A system of healthcare payment or delivery arrangements in which the plan attempts to control the use of services by its enrolled members to contain expenditures and/or improve quality.

• A) Managed healthcare
• B) Fee-for-service
• C) Health insurance exchange
• D) Indemnity insurance

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Definitions:

Four-Firm Concentration

is a metric that measures the total market share held by the four largest firms within an industry, indicating the level of market concentration and competition.

Barriers to Entry

Obstacles that make it difficult for new competitors to enter a market.

Oligopoly

A market structure characterized by a small number of firms whose decisions about production and pricing significantly affect the market.

Herfindahl Index

A measure of market concentration that sums the squares of the market share percentages of all firms within the industry, used to assess the level of competition.