Which of the Following Represents a Change in Practice That

question 9

Multiple Choice

Which of the following represents a change in practice that reduces hospital costs?

• A)Drug insurance plans
• B)Larger hospitals
• C)Same-day admissions
• D)Formation of regional health authorities

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Definitions:

Market Wage

The prevailing rate of pay for work in a particular field or occupation in the competitive market.

Profit Maximizing

The process of increasing the difference between total revenue and total cost to achieve the highest possible profit.

Marginal Revenue Product

The additional revenue generated by employing one more unit of a factor of production, keeping all other factors constant.

Wage Rate

The amount of money workers are paid per unit of time, usually specified in terms of an hour, representing compensation for labor services.