Real-World Word Problems OSU Marion Math 148

Math 148 Au2006
OSU Marion
Dr. Maharry

Get Extra Credit in Math 148 Au06 from Dr. Maharry

2 points (up to a max of 20 points for the class) for each nice example of a Real-Life word problem that you have found. A web lnk is nice, but not necessary. If you can tie it into something we're working on in class, that is even better.
2 points (up to a maximum of 10 points for the class) for each nicely written solution to someone else's problem you found on this page. Hand it in to me or email it to me at maharry@math.ohio-state.edu

Problem 8

In Ohio, paychecks lag health premiums
Workers here falling further behind as costs rise, study says
Wednesday, October 18, 2006
Suzanne Hoholik
THE COLUMBUS DISPATCH

Ohio ranks third worst among states when it comes to pay raises keeping pace with
increases in health-care premiums since 2000, according to a study released
yesterday.

The study, conducted by Families USA, said insurance premiums for Ohio workers rose
almost 8 1 /2 times more quickly than their median earnings. The organization, which
promotes universal health care, ranked Ohio ahead of only Michigan and last-place
South Carolina.

Earnings for Ohio workers increased almost 8.7 percent during the past six years,
while total health-insurance premiums in employer-sponsored policies climbed about
74 percent.

...

In Arizona, which came in first on the list, premiums still grew 2.6 percent faster
than wages over the six-year period.

Ohio’s increase in health premiums since 2000 matched the national rate. But wages
grew faster across the U.S., at 11.6 percent, than in the Buckeye State.

Here's the question:

I'm not sure I agree with the fact that insurance premiums rose 8 1/2 times faster than earnings. See if you agree with me. Assuming a constant rate of exponential growth, what was the annual rate of increase in Ohio earnings? What was the annual rate of increase of insurance premiums? Is one 8 1/2 times the other? What is it?

Back to Real-World Word Problems Web Page
Back to Main Class Web Page