...Economic Tools and Concepts Economic Tools and Concepts The core of economics is known as the law of demand. Every time you pull out your pocketbook to purchase something, the law of demand is at work. The better you understand the law of demand, the better you will understand why you pay different prices for different goods. Demand is the relationship between the quantities of a good or service consumers will purchase and the price charged for that good. The law of demand states that the quantity demanded for a good rises as the price falls, with all other things staying the same. The law of demand also states that if factors remain equal the higher price of goods, creating a lesser demand for the product (Getzen, 2007). Current issues such as health care and the effects on the economy are subjects that could be assessed through economic tools and concepts. The United States of America spends billions on the health care industry. This has proven to cause a negative effect on the United States economy, for example, this has brought about inflation and unemployment and definitely not suitable for economic growth and development. These negative aspects affect sectors of the economy households, corporate markets, and the government, and an essential role in the financing and funding the United States health care system. The local and federal government collects taxes from individuals and corporations to provide funds for the health insurance programs. Corporations offer...
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...Economic Tools and Concepts Rakia Rountree HCS/552 October 28, 2013 Chester Brown Economic Tools and Concepts Trillions of dollars are spent on health care related issues in the United States each year which is more than any other industrialized nation; the majority of the expense is related to treating and managing chronic diseases such as various types of cancers. The impact of the declining economy can be attributed to the significant rise in health care cost which has affected work productivity and reduced the quality of health care services (Wiseman, 2011). The paper will discuss the two major economic principles; Marginal analysis and opportunity cost that commonly used to underlie and evaluated the current health system of today. Marginal Analysis Marginal analysis in health care is defined as the examination of additional benefits or costs that arises from additional consumption of goods, in today’s health care industry more money is being spent on health related services because of the increase of supply and demand; to simplify the definition cost rise when the consumption of goods increase, it is the principle of economics that shifts or changes the mix of resources used in health care spending (Mitton & Donaldson, 2004). Marginal analysis in health care is the better option to use when prioritizing services or goods, prioritizing goods based on the total needs will lead to inefficient use of resources. Resource allocations in health organizations are...
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...Economic tools and concepts are used in health care to determine the accessibility as well as availability of health care to the public. The tools are also fundamental in determining the quality of health care services and facilities that are availed to different categories of people. Various key players in the industry hold critical roles in determining the nature of services offered at public as well as in private institutions although the government has a more significant role in regulating the health care industry. In the recent years, the health care industry has been hit by a severe shortage of health professionals as well as facilities such that most people rarely access the basic heath cares services. Tools such as elasticity, demand and supply curves as well as marginal analysis in the health care industry are used to present this scenario. Economic tools and concepts are used in health care to determine the accessibility as well as availability of health care to the public. The tools are also fundamental in determining the quality of health care services and facilities that are availed to different categories of people. Various key players in the industry hold critical roles in determining the nature of services offered at public as well as in private institutions although the government has a more significant role in regulating the health care industry. In the recent years, the health care industry has been hit by a severe shortage of health professionals as well...
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...Economic Tools and Concepts Wesley Hill HCS/522 Health Care Economics University of Phoenix Introduction Current health care issues in the United States use economic tools and concepts to understand and explain how to improve quality and minimize cost. Although there are many issues facing health care, one area of focus is a nursing shortage in health care facilities. Three economic tools that will be focused on in this essay are choice and opportunity cost, supply and demand, and marginal analysis. Registered nurses (RN) are the largest group of health care professionals in the United States, strengthening the entire health care delivery system (Caron, 2004). It is important to understand the effects that a nursing shortage has on the economy and the health care system. Choice and Opportunity Cost Choice and opportunity costs are two of the most important concepts in economics. There is never an endless amount of resources, supplies, or even time so choices must be made on a daily basis. The choices that must be made in health care organizations are how to spend their limited income in the best way. The term best can be hard to define when dealing in terms of buying or spending. Health care organizations must consider what choice will give the most satisfaction or maximize gain. Wiseman explains opportunity costs as being, “…any good, including service, is the satisfaction or benefit foregone in not being able to use the resources involved to obtain some...
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...I: BASIC CONCEPT OF HEALTH -Code MHA 101 Concept of Health and Disease • Concept of health & disease and well being. • Natural history of disease and role of hospitals to offer various levels of care • Prevention aspect of diseases • Dynamics of disease transmission • Changing pattern of diseases • Concept of health indicators Preliminary Human anatomy and Physiology • Basic concepts of human anatomy • Basic concepts of human physiology Suggested Reading: Human Anatomy- Prof. Samar Mitra Human Anatomy- Prof. A. K. Dutta Text Book of Human Physiology- Dr. C. C. Chatterjee Common Pathological Conditions • Basic concepts of pathogenesis of common diseases • Basic concepts of interpretation of investigations reports Suggested Reading: Robbin’s Textbook of Pathology – Robbin, Cotran, Kumar Textbook of Microbiology – Ananantanarayan & Paniker Basic concepts of Pharmacology: Commonly used Medicine in a hospital, Narcotic drugs, use and abuse of drugs. Dispensing of medicine, Drugs store, drug stock / purchase of medicine, oxygen, I/V Fluid, Chemicals etc. Suggested Reading: Textbook of Pharmacology: Dr. K. D. Tripathi PAPER – 2: Hospital Based Healthcare & Its changing scenario-Code MHA 102 Overview of Hospital • Concept of Modern Hospital & Privatization in Health Sector • Public Sector Hospitals and Level of care / offered facilities • Effects of Globalization in Health care ...
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...Economic tools and concepts paper Nadine Ranger HCS/552 November 29, 2010 James Hamilton Economic Tools and Concepts Paper One of the most prominent topics in the society today is health care reform and government plays a large role in regulating managed health care systems. A vast difference between movement along and shift in the demand curve for the different health care systems. For instance, the government funds Medicaid and Medicare to provide services to the indigent and disabled population. However, many factors exist that influence the control of health care spending from an economic standpoint. The objective of this paper is to discuss the role of government and the supply and demand curves concept to show the difference between movement along and shift of the curves in the managed care system. The concept of medical price elasticity to evaluate the manage health care industry is also discussed. Resource Allocation Law makers presented several proposals for health care reform and the final bill passed with the intention of providing health care to all Americans. One important issue concerning many consumers about health care reform is the selection of an appropriate managed health care program because one must choose a managed care provider by December 31, 2010. The application of principles to understand the health care systems is challenging because of the complexity of health care as a product or service; however, the fundamental problem...
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...Economic Tools and Concepts Dana Lawson HCS/552 December 16, 2013 Professor Amy Shoales Economic Tools and Concepts The U.S. health system is set to enter into a new era with the full realization of the individual mandate as part of the Affordable Care Act in 2014. About 34 million people will enter the health care system in early 2014, some with complex medical conditions that require the attention of primary care and specialty physicians (DeNavas-Walt, Proctor, & Smith, 2013). Despite this expected growth, this country is facing a physician shortage due to population growth, aging, and insurance expansion. The short supply has led to increased demand for physician services regardless of specialty or primary practice. According to some estimates, there will be a shortage of 91,500 physicians by 2020 with an increase in this figure to 130,600 by 2025 (AAMC, 2012). The projected shortage is equally distributed among primary care and specialties such as general surgery, cardiology, and oncology. This paper will discuss the physician shortage, describe two economic tools, and evaluate the physician shortage issue using the selected economic tools. Physician Shortage The future supply of physicians will not be able to keep up with demand for health care services. According to the Census Bureau, the population of Americans over 65 years of age will more than double between 2012 and 2060, from 43.1 million to 92.0 million (2012). It is a fact that this segment of the...
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...Economic Tools and Concepts: Physician Shortages Health care cannot be delivered without properly trained physicians. As technology and new medical breakthroughs emerge, the population ages, physicians retire and health care coverage is expanded, the demand for physicians is increasing. Patients are living longer and we understand more about human health and treatment than ever before. There are economic tools and concepts that can be applied to the physician shortage in order to identify problems and establish realistic solutions. Identifying factors that control supply and demand and examining scarcity and maldistribution of physicians can give insight into the economic issues associated with the shortage. Physician’s assistants, nurse practitioners...
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...HCS 405 week 1 Health Care Financial Terms Worksheet Paper - WWW.STUDENTWHIZ.COM Introduction The HCS 405 week 1 financial terms worksheet throws light on some of the most basic concepts of the healthcare business. Understanding health care financial terms is a prerequisite for both academic and professional success. The health care business helps the nation by providing the building blocks that the citizens need to live a successful and healthy life. The worksheet is intended to ensure that the students understand some of the basic terms used in the business world of the health care industry. The purpose of HCS 405 individual and team assignments is to make the students aware about the numerous strategies employed in the financial and other departments of a health care sector. The students attending to the HCS 405 need to understand the significance of the healthcare industry. The employees of the company strive hard every day to fulfill the mission of the company by providing millions of families, seniors, and children of the country with access to good quality healthcare products and services. The questions are strategically framed to bring out the major theme of each of the HCS 405 week assignments. For example, decision-making is the process of making sound financial decisions with the aid of your controlling, organizing, and planning results and analysis. It defines the roles for various employees of the company like the financial manager. There is a need for the mangers...
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...Economic Terms and Health Care History Amber Rainwater HCS/440 Economics: The History of Health Care February 26, 2012 Health Care History Throughout the history of the United States, the economics of the health care system has experienced many changes. There are many factors to consider that has been the drive behind many of the changes within the health care system. Medical and surgical technologies are some factors that relate to the changes in health care. Besides these factors, allocating sources to fund health care services has always been the most critical factor. One might consider the economic term supply and demand when looking at the history of health care economics and the primary funding source. Health care funding has always been a challenge and will continue to be a barrier due to the lack of resources within our nation. The primary source for funding medical services has faced many changes throughout U.S. history. The need to utilize medical services has increased, which led to the implementation of health care insurance. This came into effect due to the growing demand for health care services at a lower outer pocket expense. The challenge of funding medical services has always been a struggle. It was President Harry Truman that first approach Congress to enact a national insurance program back in 1945 After many failed attempts, President Johnson finally signed into law the Medicare and Medicaid program on July 30, 1965. Medicare is a government...
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...Economic Tool and Concepts HCS/552 Jayme Carrico 2013 Economic Tool and Concepts The health care industry has been experience for many century the shortage of nurses. It is perceive by the health care industry the shortage of nursing supply than the demand across the country. The demand for nurses in every health care organization growth in a daily basic as the technology advance. The consumers are always demanding for more personalize and quality of health care services at the time they are seeking for health care delivery creating nurses supply to be less in every health organization. A few probable reasons for nursing shortage within the health care industry can be the number of nurses in the workforce with a close retiring date, immigrated nurses from other country that works under constrained work permit, and also the population growth. As population increase the requirement for health care providers and services the growth of nursing and medical providers’ shortage will be notable. According to Getzen (2007), “There has recently been a growing recognition that instead of a surplus, a future shortage of physicians may occur. Since the number of U.S. medical graduates has not kept pace with the growth in U.S. population” (Chapter 7, p. 161). The nursing shortage and medical providers has become extremely demanded within the health care industry to provide a quality of health care. The following information will define economic concepts such as supply curve...
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...Entrepreneurship Health Care Product and Services Marketing Techniques Wali K Shakoor-Luqman I BSN, RN HCS/567 Marketing for Health Care 11/24/2014 Facilitator: Jackie Lucas FACHE Health Care Entrepreneurship Marketing Techniques Today’s health environment is governed by the concept of efficient deliverance of care, with the main objective of managing the transactions made between the patient and their providers using cost effective methods. The makeup also consists of consumer involvement in making wiser choices from the various marketing strategies used by the health care industry. The Unites States Health Care System is designed to plan and have control as to how resources are distributed. Due to harsh economic and changing times, health care has not been regulated closely enough to make sure United States citizens receive adequate resources for quality health care at an affordable cost (Getzen, 2007). The health care industry has so much opportunity for developing new businesses, but the entrepreneur has to be equipped with the necessary tools to meet the demands of the health care market. Health care organizations are serious about protecting the general public against the unscrupulous individuals using the get rich quick scams to exploit the consumer out of millions of dollars, based on trends or cosmetic related goods. As we know, obesity in the United States is an area of great concern. Health care consumers who suffer...
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...Economic Tools and Concepts There are numerous economic tools and concepts that relate to the health care field. When discussing the current nursing shortage, and the nursing shortage that will continue through the future, scarcity, supply, and demand are just a few of the important concepts to address. According to Explorehealthcareers.org (2012), “The United States has a serious shortage of practicing nurses” and “demand for frontline workers is expected to increase 50% over the next five years.” This paper will explore scarcity, supply, and demand and how these relate to the current and future nursing shortage. Scarcity Scarcity exists when the infinite human wants outweighs the limited amount of resources available ("The Problems of Health Care", n.d.). Scarcity exists within the health care field when discussing the nurses, the need for nurses, and the amount of nurses that are available to fill the number of positions available. There are many reasons that have led to the scarcity of the nursing resource. The amount of nursing schools and nursing instructors are not able to keep up with the amount of potential students, nor the need for more nurses; there are greater opportunities for nurses to expand their careers and move out of hands on nursing; there are more people entering the health care arena who will need health care and nurses to provide that care (American Nurses Association, 2014). The nursing shortage can lead to a decline in quality of care as...
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...F.Y.B.A. Paper – I Economic Theory (Micro Economics-I) SECTION – I Module 1 : Introduction Meaning, nature, scope, significance and limitations of micro economics. Ceteris Paribus – use and significance. Concept and types of equilibrium : stable, unstable, static and dynamic equilibrium – partial equilibrium and general equilibrium, positive economics and normative economics, managerial economics. Basic concepts – wealth, welfare and scarcity. Basic tools of economics analysis (equations and functions, graphs and diagrams, slope and intercepts) Module 2 : Consumers Behaviour and Demand Marishallian Approach : Equi-marginal utility, Law of demand – Determinants of demand. Elasticity of demand and its measurement. Price – Income – Cross and Promotional elasticity of demand. Consumer’s Surplus. Hicksian Approach : Indifference curves – properties of Indifference Curve, Consumer’s Equilibrium, Price effect, Income effect and substitution effect – Derivation of demand from Price Consumption Curve (PCC) – Giffen’s paradox. Samuelson Approach : Revealed Preference Theory. Module 3 : Production and Cost Analysis Concept of production function : short run and long run – Cobb – Douglass production function. isoquants – iso-cost line – producer’s equilibrium. Law of variable proportion and Law of returns to scale – Economies of scale – Economies of scope. Concepts of costs : Money and real cost, Opportunity cost, Social cost, Private cost – Derivation of short run and long run cost curves–...
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...Comparison Michelle Ozete HCS 552 Professor Harry Morris Terms Comparison Health economics assists as one of the processes that may be used to understand different matters related to health and health care. From an economics perspective, health economics is one of many subjects to which economic principles and methods can be associated to. Therefore, by describing the principles of health economics, we are actually describing the principles of economics and how they may be understood in the setting of health and health care. As Morris, Devlin and Parkin (2011) put it: “Health economics is the application of economic theory, models and empirical techniques to the analysis of decision-making by individuals, health care providers and governments with respect to health and health care”. There are numerous descriptions of economics, but a description given in by Begg, Fischer and Dornbusch (2005) is most informative: “The study of how society decides what, how and for whom to produce”. In reviewing these topics, health economics tries to associate the same analytical methods that would be associated to any object or service that the economy creates. Noting, it also frequently asks if the issues are different in health care. Resources, production, opportunity cost and scarcity The meaning of economics as stated above includes the term “to produce”, highlighting that economics deals with both health and health care as a good or service that is manufactured, or produced. All production...
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