HP Lecture #3: Economics of American Healthcare

Core Lecture #3: Economics of American Healthcare

Faculty: Steve Schenkle, MD

http://www.medschool.umaryland.edu/profiles/Schenkel-Stephen/

 

Objectives:

1. Identify the causes of "market failure" in US healthcare

2. Describe the role of insurance in healthcare.

3. Define the concept of physician agency.

4. Describe how prices are determined in healthcare.

 

Required Reading:

1. “Health Care Market Deviations from the Ideal Market” by Ari Mwachofi and Assaf F. Al-Assaf https://www.ncbi.nlm.nih.gov/pmc/articles/PMC3210041/

2. “Major Concepts of Health Care Economics” by Victor R. Fuchs 

   http://resolver.ebscohost.com.proxyhs.researchport.umd.edu/openurlsid=EBSCO%3ac8h&genre=article&issn=00034819&ISBN=&volume=162&issue=5&date=20150303&spage=380&pages=380383&title=Annals+of+Internal+Medicine&atitle=Major+concepts+of+health+care+economics.&aulast=Fuchs%2c+Victor+R&id=DOI%3a10.7326%2fM14-1183&site=ftf-live  

Optional Resources:

1. Harvard Open Access Online Lecture “Economics of Health Care: the Fundamentals” https://courses.edx.org/courses/HarvardX/PH210x/1T2014/courseware/e551eb1c98c044dc9eaae8fa2ab2a47f/801925f7d64e46679afee2687caf02a7/  

2. “The Economics of Healthcare: Crash Course Econ #29” https://www.youtube.com/watch?v=cbBKoyjFLUY

 

Lecture: Click below to begin the lecture

HP Lecture 3 Video 

 

Assessment:  Click here to take assessment. 

1. Describe the reasons why the healthcare market deviates from the traditional market principles and thus causes "market failure".

2. Define monopsony, adverse selection, and moral hazard.