\begin{tabular}{|c|c|c|c|c|c|} \hline & \multirow[b]{2}{*}{ State Rates } & \multicolumn{2}{|c|}{ UK } & \multicolumn{2}{|c|}{ UL } \\ \hline & & Cases & \begin{tabular}{l} Expected \\ Deaths \end{tabular} & Cases & \begin{tabular}{c} Expected \\ Deaths \end{tabular} \\ \hline Heart diseases & 0.010 & 4,120 & & 2,764 & \\ \hline \begin{tabular}{l} Respiratory \\ diseases \end{tabular} & 0.057 & 2,393 & & 1,814 & \\ \hline \begin{tabular}{l} Gastrointestinal \\ diseases \end{tabular} & 0.038 & 2,369 & & 1,728 & \\ \hline \begin{tabular}{l} Musculoskeletal \\ diseases \end{tabular} & 0.008 & 2,072 & & 1,451 & \\ \hline \begin{tabular}{l} Nervous system \\ diseases \\ Total \end{tabular} & 0.022 & \begin{tabular}{r} 1,480 \\ 12,434 \end{tabular} & & \begin{tabular}{l} 1,037 \\ 8,794 \end{tabular} & \\ \hline \end{tabular} EXHIBIT F.11 Cases and Expected Deaths Using Statewide Rates for Five Major Diagnostic Categories, University of Kentucky (UK) and University of Louisville (UL) Hospitals Questions 19. Is it fair to compare UK and UL hospitals just based on these categories? Why or why not? Could we have just adjusted by age? Would you use direct or indirect adjustment? 20. What kind of factors would you like to control to make a fair comparison between these two hospitals? 21. Exhibit F.12 shows the case mix distribution by severity level across the five MDCs for each hospital as well as the statewide rates. (The data are contrived.) Use the indirect age-adjustment technique to calculate the number of expected deaths in each of the six MDCs for each of the two severity levels for each hospital using exhibit F.12 as a template. What are the overall expected deaths for each hospital? What is the SMR, or risk-adjusted mortality index (RAMI)? Which hospital has a better SMR