Health Economics and its Different Approaches
It has been widely acknowledged that the technical capability of the diverse healthcare systems to offer care is way beyond the capacity of the systems to afford expensive health technologies. After healthcare decision makers accept the need for choice, it is necessary that the decision be communicated after prioritising the interventions that might surface, by a careful assessment of the costs and benefits. Health economics centres on gaining maximum value for the investments by ensuring the cost effectiveness of the provisions for healthcare.Health economics jobs revolve around determining the efficacy of the whole system.
Health economics is primarily dominated by the concept of cost-effectiveness. The concept revolves around either attaining a particular goal with reference to costs or maximising the benefits enjoyed by the population. Efficiency evaluation is carried out at frequent intervals to measure the desired outcome. There are a number of aspects to it and these include technical efficiency and allocative efficiency.
Technical efficiency determines the extent to which the available resources are combined in order to achieve the desired outcome. This can also be defined as the minimum amount of resources that are utilised to achieve a set outcome. Cases in which the patients are advised unnecessarily prolonged courses of medication or expensive medicines are identified as technical inefficiency.
Allocative efficiency is used to measure the extent to which resources are assigned to particular individuals or groups who can derive the maximum benefit out of it. For instance, statin treatment yields multiple benefits when it is advised to patients who are at a higher risk- such as people who have suffered a cardiac arrest- in comparison to patients who are at a low risk. In case of allocative efficiency, it is necessary to determine the high-risk patients and mark them as priority. This will automatically improve the level of health that is usually associated with the administration of such a treatment.
It is necessary to carry out economic evaluation of the health sector from time to time. An integral aspect of such planning is obviously the perspective from which study should be carried out. If it is carried out from the health service point of view, then it is necessary to take the direct costs into consideration. If it is from the societal point of view, then the indirect costs should also be taken into account. Taking the societal perspective also includes taking stock of the costs and benefits that are borne by the patient. An economic analysis should therefore take into account the widest perspective available in order to maximise the value and to take it as the cornerstone for decision making in the healthcare sector.
Health economics forms a valuable tool for substantially improving the information resource pool based on which decisions are taken. It can remarkably improve the decision making process and convert it into an objective and a systematic approach.
If you are looking to work in the sector or in medical information jobs , then it is necessary that you approach the right people. Apart from taking the regular course of following job bulletins and Internet job portals, you can also approach staffing agencies that specialise in health sector recruitment.
Author Bio: Steven Hayes is a recruitment professional whose agency specialises in conducting recruitment for the healthcare sector. He has published several articles on the availability, role and challenges of health economics jobs.
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