...9.3 The table at right contains data on the number of doses of an antihistamine sold per month in a small town. a. To sell 196 doses to customers, what will the price need to be? From the data provided we can determine that to supply 196 of the antihistamine the price would be $6. b. For stores to be willing to sell 196 doses, what will the price need to be? From the data provided we can determine that to supply 196 of the antihistamine the price would be $6. c. How many doses will customers want to buy if the price is $2? From the data provided if the price would cost $2 the antihistamine would be demanded by 197 customers. d. How many doses will suppliers want to sell if the price is $2? From the data provided if the price would cost $2 the antihistamine would be sold by 184 suppliers. e. Is there excess supply or excess demand at $2? From the data provided if we apply the formula: Qd-Qs= 197-184= 13 of excess demand f. What is the equilibrium price? How can you tell? From the data provided we can tell that when the price cost is $5 the demand and the supply would be equal which means there is a state of equilibrium. When the price is $5 Qd-Qs= 193-193= 0 which means there is not excessive demand nor supply. 9.6 The demand function is Q = 600 – P, with P being the price paid by consumers. Put a list of prices ranging from $400 to $0 in a column labeled P. (Use intervals of $50.) a. Consumers have insurance with 40 percent coinsurance. For each price...
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...Health Economics- HSA510 Project Paper Foundations of Health Care Economics Supply and demand or demand and supply, which comes first in the study of consumer behavior regarding health care choices. Such questions can boggle the mind; however, healthcare economists and researchers have made it easier for professionals, health care managers and others to decipher how rational individuals make consumption choices when faced with limited choices, especially in the health care environment. In economics, the simplest way to determine the demand for a particular health care service can be illustrated through supply and demand curves. The theory of demand proposes that when prices increase for a health product or good then there will be less demand for that product or good. A further assumption of this theory is that all other things are equal or held constant. Therefore, if consumers buy less at higher prices then the demand curve will slope downward. Consideration should also be given to other variables that may affect the demand for a health product or good. Those variables or demand shifters would include income, other prices, insurance, and tastes. Supply can also be determined in the same fashion as demand. If a health supplier or producer is willing to offer a health product or good for at a certain price, generally if the price raises, so does the supply and in this case, there would be an upward sloping demand curve. The supply shifters in this case would...
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...Health Care Economics and Timeline By: Morgan Pence HCS/440 Jonathan Foskett Due: May 9, 2016 Economics is described as the science that deals with the production, distribution, and consumption of goods and services, or the material welfare of humankind. The timeline of healthcare is very important because it helps to show what has happened and why the country is where it is today with the healthcare industry. It changes all the time so the timeline will always be changing and it is important to keep up to date with what is going on. This paper will help to show how the country has come to where it is today. Before the 1900’s there was not really anything that could be called major health care in the country. Doctors were still making house calls, people would use supply and demand to be able to get treatment, home remedies were being used a lot and The American Medical Association (AMA) was just getting off the ground, and hospitals were just being established. At this point in time health insurance was unheard of. During the 1900’s Teddy Roosevelt became president was the first to introduce the idea of health insurance and called or all Americans to have universal healthcare. During the Great Depression the Social Security Act was signed which provided states with the funds to build health departments and it established benefits the elderly. During the 1940 President Truman signs the Hospital Survey and Construction Act which allowed the states to access Federal grants...
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...Healthcare Responsibility: An Economic Perspective Is healthcare a right or a privilege? While it’s foremost an ethical question , a practical view of the healthcare privilege quandary begs an analysis of its financial ramifications of both answers . With the out-of-pocket cost of healthcare skyrocketing year after year, , the economic question arises: Who should bear the primary responsibility of paying for healthcare, the individual or society? Many nations such as Canada provide universal healthcare to its citizenry at a cost funded by higher taxes on both earned income and regular consumption. . The answer to the question of who should pay for healthcare must take into account both the quality of life for the patient and the financial ramifications for society. It is a universal belief that all individuals deserve to experience a happy and healthy life, but to what extent is the individual responsible for their health. In examining whether the individual or society should pay for healthcare, one must consider both the well-being of the individual and the fiscal welfare of society. These elements do not stand separate, but rather are intertwined. A society is composed of individuals; the health and well-being of a society is the summation of the health and well-being of all individuals in that society. The better individuals feel, the better they can function and contribute to a society's stability and growth. When a worker is in good health, he or she can best contribute...
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...To better understand the study of Healthcare Economics, we must first understand the topic at hand. In my research, I found that Health economics is best described as a branch of economics that focused on issues such as the efficiency, effectiveness, value and behavior that all play a part in the field of health and health care. Health Care Economics is an applied field of study that allows for the examination of multiple problems that our society is faced with in promoting health care for all individuals who seek medical attention. By applying economic theories of consumer, producer and social choice, health economics strives to understand the behavior of individuals, health care providers, both public organizations as well as private, and...
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...Assignment 1: Implications of Health Economic Concepts for Healthcare Select at least five (5) economic concepts covered in the first four weeks’ readings, and discuss the primary manner in which these concepts impact the world of health care economics. Some examples of selected concepts are health demand and supply, elasticity, resources, health measures, and costs. Write a four to six (4-6) page paper in which you: 1. Assess the value of healthcare professionals and decision makers understanding the discipline of health economics. 2. Defend or critique the importance of considering the complex nature of health and healthcare when examining the economic principles related to healthcare delivery. 3. Analyze the primary potential benefits of learning about health economics related to government involvement in healthcare economics, financing, and delivery. 4. Analyze the main potential benefits of learning about health economics related to private sector government involvement in healthcare economics, financing, and delivery. 5. Use at least five (5) current references. Three of these references must be from current peer-reviewed sources to support and substantiate your comments and perspectives. Your assignment must follow these formatting requirements: · Be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides; citations and references must follow APA or school-specific format. Check with...
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...Implications of Health Economics in the Healthcare System Perry Davis Health Policy and Economics– MMHA- 6135-4 Dr. Miriam Ross November 06, 2011 People in the world today view health in many different ways, especially when sometimes it is hard to distinguish what is being healthy and unhealthy. Many do not enjoy the visit to the doctor office, but know it is a mandatory treatment for the well being of a person. Being healthy has many different ways of being defined, but can be a difficult way to be explained. According to the article, healthy is “considered all the things that can be wrong with you even while you say you are healthy” (Zuger, 2008). My definition is when your spiritual, social, physical, or mental being is not constant. Anything that is being altered in your daily routine differently is considered unhealthy. You can be diagnosed with anything and you still can be just fine, it is certainly cane be caused as a mind thing. What determines a person health depends on the person themselves and the world can play a significant part in it. When trying to understand how health economics plays a part in today’s America, first health economics can be classified as a branch of economics as it relates to the healthcare system by efficiency and effectiveness (Teitelbaum & Wilensky, 2007). It is to understand how economists can view problems in health care by being a good health policy analyst and by making all the right decisions. The value of health can...
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...Michelle, Before I ever started my bullshit u hurt me in a way I still have not recovered w E and, you have never given the subject w other men a break for me to heal. Then, every so often there is always something going on w other men behind my back. U never tell me when u try to communicate w them and there will never be a reason for my woman to ever need attention from another man and me not know about it, matter of fact for ur next victim u should work on that bc it really isn’t right! I am always finding messages from other guys or u reaching out to them. And you want to stone me to death about a couple of words. I took a chance w u having a child that I never have or will give another chance w. U tought me a very valuable lesson. I feel that as a man, husband , and step father I have done more than I had to offer and have to offer but I try! In between the other men in our relationship u stay out of the house county etc.. and don’t even bother to tell me and that shit is not cool get all dressed up to hang out in a house , Really! Come on. But, at this point I don’t want to feel like this by u anymore and wanting absolutely nothing from You. If it does not pertain to a bill I don’t want to know and even then I would prefer u just wrote it down or passed on the message. You u want to hang out with ur friends bc I do, and there’s nothing wrong but when u make ur plans ahead time to disappear or ur already gone. My problem with that is no matter where I go or whom Im with...
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...Current and Future Economic Issues Impacting Healthcare Sector S. Ruff Dr. Merle Point-Johnson HAS 510 June 15, 2015 Abstract Not unpredictably, the increases in health care spending and the share of GDP dedicated to health care have raised up concerns about the negative influence of health care cost inflation on the U.S. economy. In an era of global economic markets, these concerns are reinforced by the status of the U.S. as a spending outlier among competing nations. The major concern is that rapid increases in health care spending can affect major economic indicators such per capita GDP, employment and inflation. The effects are likely to occur across all sectors of the economy, governments, businesses and households as all these interrelated sectors play an important role in the delivery, financing and consumption of health care in the US. Yet, the view that rapidly rising health care costs harms the U.S. economy is not without nonconformists, and some projecting economists opinion increases in health spending as having a neutral, or perhaps even a positive, economic effect. Pauly (2003) has contended that increasing health care expenditure naturally consequences in rapid growth in the health care and associated sectors, and in employment and incomes for workers in those sectors. Particularly, health care firms are largely U.S. owned. A related argument is that as total per capita GDP rises, consumers may choose...
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...Economic in the U.S. healthcare system: The $765 billion price tag on wasteful spending Our country aims at continuing to increase the quality of patient care but medical services are being overused at an alarming rate causing great concern. The health spending of this country’s gross domestic product or GDP is 17.6% which is more than any other country (Feldstein). A report from CMS in 2010 states that the total health spending in the U.S. was roughly $2.6 trillion which is twice as much per capita of the average for any other nation yet delivers a lesser amount of care. These figures translate to $8,402 per person. (CMS) The Centers for Medicare and Medicaid Services predicts that this figure will reach $4.6 trillion by 2020 which translates to almost 20% of our GDP. Table 1. Health care spending as % of GDP in 2010 Source: OECD; The Economist, 2009 Out of the trillions of dollars spent in healthcare, the 2009 PricewaterhoseCooper’s report The price of excess: Identifying waste in healthcare spending estimates that $1.2 trillion is wasted. This is equivalent to more than half of what is allocated towards health spending in the U.S. and the figures are broken down in various categories. The report attributed health wastefulness in the following areas: 1. $765 billion towards issues related to healthcare reform debate (6 major areas...
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...Economic Terms and Healthcare History Natalie Ward University of Phoenix HCS/440 1/30/2012 Economic Terms and Healthcare History Health care economics have drastically changed over the course of history in the United States. While some can contribute these changes due to the evolutionary changes the US has undergone since the beginning, the major contributing factors that influence the changes in health care economics are advances in technology and medical care. “To help ease the healthcare problem, Baylor Hospital in Dallas created a system - which eventually became Blue Cross - to help people pay their hospital bills. As science, medicine, and hospitals grew more sophisticated and more successful, more people turned to hospitals and doctors for care - and costs continued to rise. Blue Shield insurance for doctors' services started gaining ground in the late '30s as a way for doctors to protect their interests and their payments” ("How Did Healthcare Come About In The United States?", 2012). It is essential to remember that the driving force behind health care economics is money, and it plays a vital part to the success of the health care industry. In the past, the greater part of us paid medical bills with private funds; today insurance companies cover the bulk of the payment, with people paying only a small portion of the total. It is important to understand healthcare economic history, and the cash flow system. Today, financial managers are...
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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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...Healthcare Spending HCS/440 Healthcare Spending United States healthcare spending exceeds healthcare spending in any other country in the world. These increasingly high figures of healthcare spending cost are influenced by several different reasons. An aging population, illegal immigration, and technology advancements are some of the few influences on rising healthcare costs in America. It is imperative that health care costs are managed and soon because the government is finding it quite difficult to sustain everyone’s needs. In addition, healthcare reforms must be made to lessen healthcare costs before the quality of healthcare reduce in a drastic way. Healthcare spending has been on a continuous incline in America throughout the years. According to Center for Medicaid and Medicare Services, in the year of 2008 health care cost rose to $2.3 trillion in the United States; this was 4.4% higher than 2007 costs. Healthcare costs are averaging a little over %16 of the entire Gross Domestic Product (GDP). In 2008 Medicare spending increased 8.6% and Medicaid spending increased 4.7% in the same year. In addition, hospital stays physician rates, clinical visits, and prescription medications increased as well. 31% of a $1.6 trillion healthcare cost has been designated strictly for hospital stay care. Clinical and physician services are accountable for about 22% however, proposals from physicians account for a much vaster percentage of health care costs. Prescription medications...
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...component of accelerating improvements in the quality and value of health care for all Americans. Policymakers will be challenged to link investments in the health information infrastructure to the objectives of health care reform. The purpose of this paper is to articulate on why it is important to increase the likelihood of achieving high-value health care with the aid of health IT. Although the healthcare community has been clamoring for integration of its IT systems for decades, the industry is still in a rather elementary stage when it comes to useful and practical systems integration. Many think that the systems don’t support shared identities; they’re too focused on structured data, and that they don’t produce enough common output in a security-friendly way. However, by leveraging the Common Security Framework, healthcare organizations can now better manage risk; save time and expense that would be spent in determining their requirements and in auditing business associates; and increase information protection while better managing information security related expenses. Healthcare organizations in 2008 that was eager to develop health information exchanges (HIE) and regional health information networks (RHIO) also developed creative ways to assemble requests for proposals (RFP); clarify vendor expectations, and manage and resolve governance issues. Vendors received RFPs from states that had high hopes for data interchange but minimal funding. Other ventures were stymied...
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...examine the benefits of the public healthcare system over it’s private counterpart, not only in Canada, but any country attempting to utilize their society to the fullest. I will argue that the welfare-state liberalistic approach is much better because it seeks to pool the resources of the many and regulate/distribute it to the few in dire need, hopefully resulting in a diminishing number of sick and homeless. I begin my essay by highlighting the importance and function of both the welfare state liberalist’s public heath care and the neoconservative private health care. My argument stands on the grounds that public healthcare in Canada is more tenable because it works for the common good of all people, regardless of socioeconomic class while also placing a primary focus on efficiency, instead of profitability. A viable counterargument is that most working people do not find it ‘fair’ to have their hard-earned money taken to support the lazy or poor(welfare), although in reality the vast majority of these ‘lazy’ poor people or those outside of a private healthcare system are not in the position out of free will. As we examine the positives and negatives of both systems it becomes increasingly apparent that as empathetic humans we all have a right to health and to equal opportunity to play our part in society. The welfare-state liberalist view, at its core, is a government that plays a pivotal role in the protection and promotion of the economic and social prosperity of the citizens...
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