Monday, October 17, 2011

Update on topics and exam

Anki - The flashcards (http://ankisrs.net/)
Go to the document in the link below and write your name next to the document you have signed up for. If you do not do so withing a week, somebody else will be allowed to take "your" chapter:
https://docs.google.com/document/d/19GwhIAghWFEhGcp6glq11_WsaM4LVHO8d5rG2OwkwhQ/edit?hl=en_US


About the exam
Some of you have asked about how much calculation you have to do, how much you neet to know about the things we do in class in addition to the topics in the book and so on. The short answer is: The exam will consists of several small questions asking you to define concepts and give examples. It will also consists of some questions involving calculations like we did in volumen-profit analysis (calculate break-even volumen and so on). Finally, the main part will be from the Drury book, but there may be one or two small questions about concepts we have covered in class. A list of the topics I expect you to know something about (with links) is listed below.


List of topics
Some of you have asked for a list of topics that are not in the Drury textbook. I have listed the topics below with some links and to more information. For the exam, you will be expected to know something about some of these concepts. It will not be a major part of the exam - concepts from the Drury book will cover that - but you may get some questions on the following: the concept of expected value, some of the mechanisms that create economies of scale and diseconomies of scale, and the problem of regression to the mean. I will update this list so you will always know the concepts that you are supposed to know.


Decision theory
(Define, Difference between expected value and expected utility, St. Petersburg paradox, Allais paradox, Net Present Value, Overconfidence, Bayes' Rule and screening)

System of Health Accounts 
(Importance ans use of health accounts, Boundary problems, Conversion problems, Quantification of problems)
The document itself is here: http://www.who.int/nha/sha_revision/sha_2011_final1.pdf

Economies and diseconomies of scale
(Average cost curve, mechanisms that create economies of scale, learning by doing, distribution of fixed costs, mechanisms that create diseconomies of scale, coordination costs, information costs, principal agent problems in hierarchies, chains of principal agent relationships)

Cost containment 
Lorenz curve, distribution of health cost among different groups, Atul Gawande, regression to the mean

Why projects often go over budget 
1. Political reasons
2. Technical reasons (Ths sum of most likely events is not always the most likely outcome)

Health care fraud
Examples of different kinds of fraud, estimating the size of fraud, fee-for-service vs. per capipta may lead to different frauds

Less relevant, but since I mentioned it in class:
Can you buy love? 
Here is a blog with lots of statistics about this and other things based on data from a net dating site (warning, not for the faint hearted): http://blog.okcupid.com/

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