HEALTH ECONOMICS

SUBMITTED TO: DR. GAURAV GUPTA

GUEST FACULTY
IBS,CCSU

SUBMITTED BY: NEHA

MBA(HA) 4TH SEMESTER
 CONTENT
 INTRODUCTION

 DEFINITION OF HEALTH ECONOMICS

 TYPES

 WHY STUDY HEALTH ECOMOMICS?

 INTRODUCTION

 Economists analyze how resources are allocated for production,

distribution, and consumption.

 One of the earliest recorded economists was the 8th-century

B.C. Greek farmer and poet Hesiod.

 The publication of Adam Smith's 1776 book An Inquiry Into the

Nature and Causes of the Wealth of Nations sparked the
beginning of the current Western contemporary economic
theories.
 HEALTH ECONOMICS

 Health economics is a branch of economics concerned with

issues related to efficiency, effectiveness, value and behavior in
the production and consumption of health and healthcare.
 TYPES

The allocation of healthcare resources takes place at two distinct

levels:

 At the macroeconomic level, policymakers decide on budgets,

staffing, cost-effectiveness thresholds, clinical guidelines and
insurance payments.

 At the microeconomic level, healthcare professionals decide on whom

to treat, what the appropriate treatment is, how much time and effort
should each patient receive and how urgent the need for care is.
 WHY STUDY HEALTH
 To UnderstandECONOMICS?
the key concepts in health economics

 Applying health economic principles to real-world problems

 Conducting health economic analysis

 Assessing the value of new drugs and treatments

 Designing new insurance products

WHY STUDY HEALTH ECONOMICS
 Developing innovative financing mechanisms for healthcare

 Evaluating the impact of government policies on the healthcare

system

 Understanding the factors that influence health outcomes

 Forecasting future trends in healthcare spending.