P1 - health care - production cost - steps taken - bad effect on companies - how is given?
P2 - How to manage health care cost more effectively ? with examples.
main point - having HC hurt companies, but not having HC hurt them more. two sides explained.
1. The passage is primarily concerned with
(A) providing support for a traditional theory - no
(B) comparing several explanations for a problem - No
(C) summarizing a well-known research study - No
(D) recommending an alternative approach - Closest of the answers we have thought about.
(E) criticizing the work of a researcher - no, extreme
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2. The author of the passage asserts which of the following about managing health care costs in an effective manner?
This is defined in P2.
(A) Educating employees to use health care wisely is the best way to reduce health care costs. - no
(B) Allowing employees to select health care programs is the most effective means of controlling health care costs. - not specifically written
(C) Companies should pass rising health care costs on to employees rather than to consumers of the companies' products. - so only rising cost should be passed. that is no.
(D) Companies should use strategies in procuring health care similar to those used in procuring components necessary for production. - This is one of the challenge company was facing and can be improved. Should be the answer.
(E) Companies should control health care costs by reducing the extent of medical coverage rather than by shifting costs to employees. - no
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3. Which of the following, if true, would provide the most support for the author's view about intervening on the supply side of health care?
First line of p2.
(A) Most companies do not have enough employees to make on-site clinics cost-effective. - no
(B) Many companies with on-site clinics offer their employees the option of going outside the company's system to obtain health care. - no
(C) The costs of establishing and running an on-site clinic are demonstrably higher than the costs of paying for health care from an outside provider. - no
(D) Companies with health care clinics find that employees are unwilling to assist in controlling the costs of health care. - no
(E) Employees at companies with on-site clinics seek preventive screening and are thus less likely to delay medical treatment. - yes; example in P2 says exactly the same.
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