Economics and Healthcare Delivery Systems

Economics and Healthcare Delivery Systems

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Economics and Healthcare Delivery Systems

Economics and Healthcare Delivery Systems has a direct effect on society.

because health, like any other good or service, is desired because it generates

utility. The Health Production Theory explains the role of the making, or

production, of health and its influence by a variety of factors, including the

amount of medical care consumed. Also, there’s a direct relationship between

healthcare economics and societies access to health insurance.

Rising incomes mean more disposable income for health services, both basic

and optional. Because health insurance continues to offer narrow ranges of

benefits for small monthly fees, many people pay directly for optional health

services. The first to notice this trend are entrepreneurs, both physicians and

businessmen who come from the resource side. These entrepreneurs have led in the

most noticeable physical and organizational restructuring of health care: the

decentralization of hospital and physician services to single-specialty or

single-patient-type "institutes" that offer all services in an

integrated form. Institutes now house women and children's services, cancer,

orthopedics, eye, diabetes, renal and stroke services, asthma and allergies,