If the Screening Hypothesis Is True

question 7

Multiple Choice

If the screening hypothesis is true:

• A)educational attainment and the level of fringe benefits received will be inversely related
• B)the private rate of return to education will tend to overstate the social rate of return
• C)the private rate of return to education will not accurately reflect the gain to the individual student
• D)the college wage premium is much greater than is hypothesized by human capital theorists

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Definitions:

DRG System

Diagnosis-related group system, a method used by healthcare providers to classify hospitalization costs and determine how much to reimburse for care based on the diagnosis.

Health Care Costs

refer to the expenses associated with the prevention, diagnosis, treatment, and management of illness and the preservation of mental and physical well-being.

Affordable Care Act

A comprehensive health care reform law enacted in 2010 in the United States to increase health insurance quality and affordability.

Health Care Consumers

Individuals who seek, use, or are potential users of health care services, including patients and their families.