economics and health care

Economics and Health Care
Student’s Name
Institutional Affiliation
Economics and Health Care
Introduction
Health Care makes extensive use of economic theories. Health economics provides a candid view of how health and medical resources are utilized. For instance, health economics has proven most opposite in the quantification of consumption, demand, and production of health care services around the globe. This paper purposes of discussing the relationship between health and economics, provide a precise definition of health and evaluate how income level influences health. It unravels that a strong correlation exists between higher income levels and sound health.
Economics has broad applicability in health. Provision of health as a service is dependent on demand and supply like any other service or good. Health economics seeks to examine how health care services are produced and consumed. For instance, health economics offers large data quantifying the demand and supply of health care services within a given geographical locality. Additionally, health economics evaluates the efficiency in the provision of healthcare services.
Health is an aggregate state of psychological, physiological and societal well-being, which is not necessarily a mere absence of a diseased condition. The World Health Organization (WHO), defines health as “a dynamic condition which results from body’s constant adjustment and adaptation in response to stress and changes in the environment for…