Executive MPH Program PBHL 600ES – Health Management and Leadership Fall 2017 Salud Digna Assessment NAME:________________________________________ Figure 1 1. Line D0 above represents consumer demand for Salud Digna’s optometry services in her satellite clinics. A shift in market demand occurs when factor(s) other than price affects quantity demanded. For Figure 1, describe a scenario that could explain an outward shift in consumer demand for optometry services provided by SD’s satellite clinics from D0 to D2. __________________________________________________________ __________________________________________________________ __________________________________________________________ __________________________________________________________ 2 Figure 2 2. Line S0 above represents the market supply for dialysis services in Mexico A shift in market supply occurs when factor(s) other than price affects quantity supplied. For Figure 2, describe the scenario presented in the Salud Digna case that could explain an outward shift in the market supply of dialysis services from S0 to S1. __________________________________________________________ __________________________________________________________ __________________________________________________________ __________________________________________________________ 3. Assuming that the theory of supply explains behavior, if Mexico Americano’s costs for MRI scans drops because of reduced resource costs for equipment and material in the market for MRI scans, will that lead Salud Digna to: a. Increase the volume of MRI scans provided to its patients b. Decrease the volume of MRI scans provided to its patients c. Maintain the same level of MRI scans provided to its patients d. Cannot be determined 3 Figure 3 4. In Figure 3 above, dotted lines show various price points and corresponding demand for Pregnancy Tests among fertility aged Mexican women. Shade the triangle(s) that would indicate shortage in the supply of pregnancy tests. 5. If in Figure 3, E correctly depicts a point of equilibrium price, quantity demanded and quantity supplied, does it represent a model of perfect competition: a. YES b. NO c. Cannot be determined from this figure 6. Assuming that the theory of demand explains behavior, if a consumer has a budget constraint does this mean that that he/she: a. Has to balance indifference for goods that satisfy utility b. Has limited ability to move to a higher equilibrium price if current prices increase c. Cannot increase quantity demanded without a positive change in income d. All of the above 4 Figure 4 7. Figure 4 shows supply (S) and demand (D) for diabetes tests. If the graph correctly depicts a competitive market for all patients, does point P represent: a. Efficiency b. Breakeven c. Profit Maximizati ...