Discussion:
1. Suggest at least one method by which capitation rates are set for health maintenance organizations in Medicare. Provide one example of an HMO with these types of set rates in order to support your response.
2. Compare the primary available economic resources that health insurance payers may use to monitor, assess, and regulate health care providers' behavior. Evaluate the degree to which alternative provider payment methods (e.g., capitation, pay for performance, etc.) impact HMO economic and business performance. Provide one example of such a type of method to support your response.
3. Examine the Aging Population and Non-employment and describe their short- and long-term impact on promoting the competitive market model in the healthcare environment.
4. Evaluate the fundamental reasons why price and utilization economic factors in the healthcare setting influence competitive market status in regard to supply and demand for health care services. Provide at least one example of such factors to support your response.
5. Take a position on whether or not monopolistic competition works within a healthcare setting. Support for your position should include a discussion of the monopoly model being used to predict the allocation of resources in healthcare markets within preferred provider organizations.