Deck 15: Behavioral Economics and Health

Question 1

Having the healthier food placed before the unhealthy food in a cafeteria buffer is an example of:

A) Asymmetric paternalism
B) Hyperbolic paternalism
C) Present bias
D) Expected utility theory
E) Incentives

Answer 1

Asymmetric paternalism

Question 2

When non-vaccinated people become ill they are often subsequently more likely than others to get the vaccine in the future. This is an example of _____________.

A) Narrow bracketing
B) Peanuts effects
C) Regret aversion
D) Default bias
E) Rational-world bias

Answer 2

Regret aversion

Question 3

Which is NOT a characteristic of behavioral economics?

A) It may incorporate asymmetric paternalism
B) It views poor decisions as errors
C) It presumes people are fully rational and primarily driven by self-interest
D) It builds on Prospect Theory
E) Many of the same messages used to promote unhealthy behaviors can also be used to promote healthy behaviors

Answer 3

It presumes people are fully rational and primarily driven by self-interest

Question 4

In behavioral economics, there is evidence that interventions to reduce drug addiction are effective when they:

A) Pay addicts large sums of money to stay abstain from drugs
B) Highlight the major adverse consequences of drug use (e.g. loss of livelihood)
C) Offer small and frequent incentives based on proof of abstinence
D) Healthcare professional screen patients for substance abuse during visits
E) Hold monthly meetings to promote abstinence

Question 5

Which is NOT a component of Prospect Theory?

A) How people feel about a set of outcomes depends on their starting point
B) There is diminished sensitivity to both losses and gains, depending on the starting point
C) People exhibit loss aversion
D) Individual are expected utility maximizers and make decisions based on the highest net present value
E) People tend to overweight small probabilities

Question 6

Neoclassical economics relies on _________________ theory.

A) Prospect
B) Expected utility
C) Asymmetric paternalism
D) Value-based insurance
E) None of the above

Question 7

The mentality that it is easier to begin dieting tomorrow as opposed to today is an example of what concept?

A) Incentives
B) Loss aversion
C) Nonlinear probability weighting
D) Peanuts effect
E) Present bias

Question 8

Behavioral economics research has found that the _________ of incentives can matter more than their ______________.

A) Frequency, magnitude
B) Magnitude, frequency
C) Quantity, magnitude
D) Dollar amount, regularity
E) Motivation, frequency

Question 9

In studies to test the effectiveness of financial incentives to promote weight loss, researchers found:

A) Decreased weight loss using financial incentives
B) Increased weight loss using financial incentives
C) Increased weight loss followed by rapid weight gain using financial incentives
D) Increased weight loss only when the financial incentives were large enough to cover the cost of exercise equipment
E) Social support was a more important predictor of weight loss than financial incentives

Question 10

To improve medical adherence, the intervention in this chapter utilized:

A) Default bias
B) Narrow bracketing
C) Hyperbolic discounting
D) Financial incentives
E) Value-based insurance design

Question 11

Behavioral economics posits that the magnitude of incentives matters more than the how incentives are delivered.

Question 12

In large and randomized studies, making preventative services free or low-cost consistently reduces healthcare costs.

Question 13

In behavioral economics, encouraging individuals to change behavior by utilizing short-term incentives that promote healthy choices are thought to be more effective than highlighting long-term outcomes.

Question 14

Behavioral economics posits that people are more likely to take risk when it comes to gains as opposed to losses.

Question 15

Asymmetric paternalism attempts to promote healthy decisions without limiting freedom of choice.

Question 16

People tend to put greater weight on losses than gains, even when they are similar in magnitude.

Question 17

The Peanuts effect posits that it is better to provide reward feedback frequently, but to provide financial rewards less frequently and in bundles.

Question 18

In pilot testing to improve medical adherence, patients who took their medicine as prescribed and received $5 daily were far more adherent than those that received $3 daily for the same actions.

Question 19

To change a daily behavior, behavioral economics recommends limiting contact to approximately twice a month so as not to overwhelm the individual.

Question 20

The Affordable Care Act incorporates value-based insurance design.

Question 21

Describe the difference between neoclassical economics and behavioral economics. Why may behavioral economics be more suited to understanding health behavior change?

Question 22

Suppose you are designing an intervention to increase daily physical activity among adults. Describe how you would draw on concepts from behavioral economics to design the intervention.