In this problem, you will estimate the relative value of VistA for the Veterans Administration.We asked the Department of Veterans Affairs to provide us the budget of the Office of Information in the last decade (this office was recently organized and the FOIA officer had to estimate what the budget of the office would have been prior to the re-organization). We also asked for the number of patient records in VistA database. They provided us with the following information:

Fiscal Year	Budget of Office of Information	Number of Records in VistA	VHA Cost per Patient Index
2017	8,016,467,395	16,806,871	-4.60%
2016	5,445,998,730	14,545,559	-9.10%
2015	3,187,087,714	14,088,075	-7.30%
2014	2,171,353,392	13,673,612	-6.50%
2013	1,203,211,123	13,425,474	-8.60%
2012	999,997,062	13,273,020	-6.20%

Table 2: Investment in IT, Use of VistA and Cost per Patient Index

Instructions:

1. Calculate the correlations between (a) index on cost of care per patient, (b) number of records in VistA system and the budget of the office of information.
2. Provide scatter diagram showing the relationship between IT investment (budget of Office of Information) and cost of care (VHA cost per Patient Index)