1. The northern community of Assiniboine Narrows has a population of 12,000. It has one medical clinic with three doctors, each working 40 hours per week. Each doctor sees four patients per hour. The clinic would like to hire one or two more doctors. The mortality rate in the community is 11 per 1,000 population. This rate will fall to 9.5 per thousand if one doctor is added and to 9 per thousand if two doctors are added. Each new doctor will cost the system $250,000 per year. An alternative plan is to bring in two home care nurses. Each home care nurse will see two patients per hour. The addition of the first nurse will reduce the mortality rate by 0.8 per thousand, and the addition of a second nurse will reduce the mortality rate by 0.6 per thousand. Each home care nurse will cost the system $100,000 per year. Use calculations to examine the alternatives available to Assiniboine Narrows. Then, based on your calculations, make a recommendation as to the preferred course of action. Ensure that you calculate the output and outcome of each additional health professional.
2. Assume a given demand curve for massage therapy services. In the context of providing massage therapy services, list, and describe in detail, five different variables that may cause an increase in the demand for these services.
3. In 2006, a hospital with 135 beds had 8,795 admissions. The average length of stayfor each patient was 4.7 days. Assuming full capacity is 100 percent; calculate the occupancy rate of the hospital for 2006. Also, calculate the hospital capacity for 2006.
4. Based on the information given in the Canada Health Act as well as the information provided in your Study Guide, write a description of how medical services are funded in Canada. Be sure to describe the services covered under the following three areas: hospital care, medical care, and areas not currently funded (unless one has supplementary health insurance).
5. Using the relationship between the price of a visit to a physiotherapist and the quantity of visits demanded, define and distinguish among the direction, the slope, and the position of an economic relationship.
6. Following her knee replacement operation, Mrs. Purtik was sent to a long-term carefacility for rehab for a period of time. She now receives home care and makes visits to a physiotherapist. How many providing agencies would be responsible for Mrs. Purtik's treatment and care in a traditional health care system? How many providing agencies would be involved in her case in a regionalized health care system? Explain your answer in both cases.
7. In the context of hospital care, define and distinguish among occupancy rate, capacity, and utilization.
8. Discuss the role and interrelationships between the following economic units in the operation of Canada's health care system: consumers, suppliers, third parties, and regulators.