Figure 21-2 The Downward­sloping Line on the Figure Represents a Consumer's Budget

question 202

Multiple Choice

Figure 21-2
The downward­sloping line on the figure represents a consumer's budget constraint.
-Refer to Figure 21-2. Which of the following statements is not correct?

• A) Points W, X, and Y all cost the consumer the same amount of money.
• B) Point Z is unaffordable for the consumer given his budget constraint.
• C) Point V costs less than point Z.
• D) Points W, X, and Y give the consumer the same level of satisfaction.

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Definitions:

DRG System

A system used in healthcare to classify hospital cases into groups according to diagnosis, treatment, and length of stay, for the purpose of payment and data analysis.

Labor Costs

The total sum of all wages paid to employees, as well as the costs of employee benefits and payroll taxes incurred by an employer.

Nonlabor Costs

Expenses related to the operations of a business or project that do not include direct costs of labor, such as materials or overhead.

Complication

An unexpected illness or other condition that develops as a result of a procedure, service, or treatment provided during the patient’s hospital stay.