Certified in Public Health (CPH) Practice Exam

Which two categories are the largest expenditures for the Medicare program?

1. Hospitals and nursing homes

2. Physicians and hospitals

3. Public health and physicians

4. Hospitals and pharmaceuticals

The correct answer is: Physicians and hospitals

The choice highlighting physicians and hospitals as the largest expenditures for the Medicare program is accurate because these two categories encapsulate critical healthcare services that account for a significant portion of overall spending. Hospitals, as institutions providing a wide range of inpatient and outpatient services, incur substantial costs due to factors such as advanced medical technology, staff salaries, and operational expenses. Simultaneously, expenditures related to physicians reflect the costs associated with medical professionals providing essential care, including consultations, procedures, and ongoing patient management. This dual emphasis on both hospital care and physician services underscores the intricacies of Medicare's funding priorities, as both sectors are fundamental to the delivery of health services to the elderly and disabled populations covered by the program. While other categories such as pharmaceuticals can be significant, they do not match the combined expenditures on hospital and physician services within the Medicare framework. Options that focus on public health or nursing homes might play a role in healthcare spending, but they are not the foremost categories driving the overall budget of the Medicare program.