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11.2 Improving Basic Public Health and Healthcare Services
Undisputedly, we live in a world of limited resources. There are limitations with
respect to money available in the world around which economics revolves.
Individuals, organizations and government have to allocate and spend the available
resources.
Countries all over the world want to increase their GDP, but certainly no individual wants to lose his/her health and become hospitalized so as to increase the
GDP of his/her country no matter how patriotic he/she may be. The health expenditure varies from year to year and from country to country. However, the healthcare
sector provides wide opportunities, which include health educators, doctors, paramedical staff, drug manufacturers, ambulance drivers/operators, staff in medical
and paramedical institutions, medical equipment manufacturers, staff in medical
establishments, researchers and staff in pharmaceutical and medical equipment
manufacturing company, etc. In addition, health care also supports the livelihood of
people who work in packaging, transportation, linen/bed/furniture/stationary manufacturing and construction sectors, fruit/vegetable/food vendors, etc., whose services revolve around health care. The additional health expenditure varied from
1.9% of GDP (Lao PDR) to 17.1% of GDP (Marshall Islands and USA) in the
year 2014.
Health economics in a government is required:
• To make budgetary allocation
• To estimate probable expenditure to be incurred in next financial year/years
• To evaluate the relative costs as well as benefits of particular policy options
• To find out the source of healthcare financing
• To formulate health services
• To request/accept international financial aid
The four major types of economic analysis in health are as follows:
1. Cost-minimization: In this type of analysis, only the inputs are compared, and
outputs are considered to be equal.
2. Cost–benefit: Here, all outputs are measured in monetary terms.
3. Cost-effectiveness: In this type of analysis, a clinical output such as mortality,
morbidity, reduction in blood pressure or quality of life, etc., is measured as a
measure of the effectiveness.
4. Cost utility: This measure to allocate a quality of life value.
Considerable skills are required in management of health resources so as to support, supervise and evaluate health activities in an area. Health services need to be
organized in a way that they meet the health needs, as well as the people’s demands.
Healthcare personnel management is required to use the human resources skilfully
and efficiently apart from a management information system. An efficient management information system would include easy collection as well as timely, regular
update and utilization of data.
11 Living with Environmental Diseases
11.2 Improving Basic Public Health and Healthcare Services
Undisputedly, we live in a world of limited resources. There are limitations with
respect to money available in the world around which economics revolves.
Individuals, organizations and government have to allocate and spend the available
resources.
Countries all over the world want to increase their GDP, but certainly no individual wants to lose his/her health and become hospitalized so as to increase the
GDP of his/her country no matter how patriotic he/she may be. The health expenditure varies from year to year and from country to country. However, the healthcare
sector provides wide opportunities, which include health educators, doctors, paramedical staff, drug manufacturers, ambulance drivers/operators, staff in medical
and paramedical institutions, medical equipment manufacturers, staff in medical
establishments, researchers and staff in pharmaceutical and medical equipment
manufacturing company, etc. In addition, health care also supports the livelihood of
people who work in packaging, transportation, linen/bed/furniture/stationary manufacturing and construction sectors, fruit/vegetable/food vendors, etc., whose services revolve around health care. The additional health expenditure varied from
1.9% of GDP (Lao PDR) to 17.1% of GDP (Marshall Islands and USA) in the
year 2014.
Health economics in a government is required:
• To make budgetary allocation
• To estimate probable expenditure to be incurred in next financial year/years
• To evaluate the relative costs as well as benefits of particular policy options
• To find out the source of healthcare financing
• To formulate health services
• To request/accept international financial aid
The four major types of economic analysis in health are as follows:
1. Cost-minimization: In this type of analysis, only the inputs are compared, and
outputs are considered to be equal.
2. Cost–benefit: Here, all outputs are measured in monetary terms.
3. Cost-effectiveness: In this type of analysis, a clinical output such as mortality,
morbidity, reduction in blood pressure or quality of life, etc., is measured as a
measure of the effectiveness.
4. Cost utility: This measure to allocate a quality of life value.
Considerable skills are required in management of health resources so as to support, supervise and evaluate health activities in an area. Health services need to be
organized in a way that they meet the health needs, as well as the people’s demands.
Healthcare personnel management is required to use the human resources skilfully
and efficiently apart from a management information system. An efficient management information system would include easy collection as well as timely, regular
update and utilization of data.
11 Living with Environmental Diseases