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Preface | p. xiii |
Why Health Economics? | p. 1 |
Important (If Not Unique) Aspects of Health Care Economics | p. 2 |
How Markets Interrelate in Medical Care and Health Insurance | p. 9 |
Afterthought | p. 30 |
Summary | p. 30 |
Related Chapters in Handbook of Health Economics | p. 31 |
Problems | p. 31 |
Utility and Health | p. 32 |
How to Think About Health and Health Care (or...How Health Economics?) | p. 33 |
The Production of Health | p. 36 |
Health Through the Lifecycle | p. 38 |
A Model of Consumption and Health | p. 40 |
Summary | p. 53 |
Related Chapter in Handbook of Health Economics | p. 54 |
Problems | p. 54 |
Appendix to Chapter 2: A Formal Model of Utility Maximization | p. 55 |
The Transformation of Medical Care to Health | p. 56 |
The Productivity of Medical Care | p. 56 |
Confusion About the Production Function: A Policy Dilemma | p. 73 |
Physician-Specific Variations (Medical Practice Styles) | p. 80 |
Extensive and Intensive Margin Differences: Are They Similar? | p. 85 |
Summary | p. 86 |
Related Chapters in Handbook of Health Economics | p. 87 |
Problems | p. 87 |
Appendix to Chapter 3: Marginal, Average, and Total Productivity | p. 88 |
The Demand for Medical Care: Conceptual Framework | p. 91 |
Indifference Curves for Health and Other Goods | p. 92 |
From Indifference Curves to Demand Curves | p. 98 |
How Demand Curves Depend on Illness Events | p. 100 |
Demand Curves for Many Medical Services | p. 101 |
The Demand Curve for a Society: Adding Up Individual Demands | p. 102 |
Use of the Demand Curve to Measure Value of Care | p. 103 |
How Insurance Affects a Demand Curve for Medical Care | p. 105 |
Time Costs and Travel Costs | p. 116 |
The Role of Quality in the Demand for Care | p. 118 |
Revisited: The Price Index for Health Care | p. 121 |
Summary | p. 122 |
Related Chapters in Handbook of Health Economics | p. 123 |
Problems | p. 123 |
Appendix to Chapter 4: Demand Curves and Demand Elasticities | p. 124 |
Empirical Studies of Medical Care Demand and Applications | p. 126 |
Studies of Demand Curves | p. 127 |
Effects of Age and Gender on Demand | p. 138 |
The Effects of Illness on Demand | p. 139 |
Lifestyle and its Effects on Demand | p. 139 |
The Demand for "Illness" | p. 142 |
The Demand for Quality: Choice of Provider Specialization | p. 145 |
Other Studies of Demand for Medical Care | p. 146 |
Applications and Extensions of Demand Theory | p. 150 |
Decision Theory: Deriving the "Right" Demand Curve for Medical Care | p. 155 |
Cost-Effectiveness Ratios and Demand Curves | p. 156 |
Why Variations in Medical Practice? | p. 157 |
Summary | p. 158 |
Related Chapters in Handbook of Health Economics | p. 159 |
Problems | p. 159 |
Appendix to Chapter 5: An Example of Medical Decision Theory | p. 160 |
The Physician and the Physician Firm | p. 165 |
The "Firm"-Inputs, Output, and Cost | p. 166 |
The Physician as Entrepreneur | p. 167 |
The Physician-Firm and its Production Function | p. 168 |
The Physician as Diagnostician | p. 169 |
Nonphysician Primary-Care Providers | p. 176 |
The Size of the Firm-Group Practice of Medicine | p. 180 |
The Physician as Labor | p. 185 |
The Aggregate Supply Curve: Entry and Exit | p. 191 |
The Open Economy: U.S.- and Internationally Trained Physicians | p. 191 |
Summary | p. 193 |
Related Chapters in Handbook of Health Economics | p. 193 |
Problems | p. 193 |
Appendix to Chapter 6: Cost Passthrough | p. 194 |
Physicians in the Marketplace | p. 197 |
Physician Location Decisions | p. 198 |
Consumer Search and Market Equilibrium | p. 204 |
Actual Search by Patients | p. 216 |
Advertising and the Costs of Information | p. 219 |
The Role of Licensure | p. 221 |
Estimates of the Demand Curve Facing Physician-Firms | p. 223 |
Induced Demand | p. 225 |
The Role of Payment Schemes | p. 233 |
Summary | p. 235 |
Related Chapters in Handbook of Health Economics | p. 236 |
Problems | p. 236 |
The Hospital as a Supplier of Medical Care | p. 238 |
The Hospital Organization | p. 239 |
Who Is the Residual Claimant? | p. 244 |
Where Does the Utility Function Come From? A Political Theory Model | p. 249 |
Hospital Costs | p. 254 |
Long-Run Versus Short-Run Costs | p. 258 |
The Hospital's "Cost Curve" | p. 259 |
Another Complication: Outpatient Surgery | p. 262 |
The Demand Curve Facing a Single Hospital | p. 264 |
The Utility-Maximizing Hospital Manager Revisited | p. 266 |
Summary | p. 266 |
Related Chapters in Handbook of Health Economics | p. 267 |
Problems | p. 267 |
Hospitals in the Marketplace | p. 269 |
Hospitals and the Market for Medical Staff | p. 270 |
Hospitals and Patients | p. 272 |
A Model of Equilibrium Quality and Price | p. 274 |
Insurance and Competition in the Hospital's Decision | p. 278 |
Interaction of Doctors and Hospitals: "Goodies" for the Doctor | p. 281 |
Interaction of Doctors and Hospitals: Patients for the Hospital | p. 282 |
Competition-"Old Style" Versus "New Style" | p. 283 |
Entry and Exit: The Pivotal Role of For-Profit Hospitals | p. 286 |
The Hospital in Labor Markets | p. 286 |
Nursing "Shortages" | p. 292 |
Summary | p. 294 |
Related Chapters in Handbook of Health Economics | p. 295 |
Problems | p. 296 |
Appendix to Chapter 9: The Hospital's Quality and Quantity Decision | p. 296 |
The Demand for Health Insurance | p. 300 |
The Demand for Health Insurance | p. 301 |
Reasons People Want Insurance | p. 302 |
Choice of the Insurance Policy | p. 308 |
Insurance Market Stability: The Question Of Self-Selection | p. 318 |
Income Tax Subsidization of Health Insurance | p. 326 |
Empirical Estimates of Demand for Insurance | p. 333 |
The Overall Effect of the Tax Subsidy on the Health Sector | p. 335 |
"Optimal" Insurance | p. 335 |
Other Models of Demand for Insurance | p. 336 |
Summary | p. 337 |
Related Chapters in Handbook of Health Economics | p. 338 |
Problems | p. 338 |
Appendixes to Chapter 10 | |
A Detailed Calculation of Welfare Loss | p. 341 |
The Calculus of the Risk/Moral Hazard Trade-off | p. 342 |
The Statistics of an Insurance Pool | p. 344 |
Health Insurance Supply and Managed Care | p. 345 |
The Supply of Insurance | p. 345 |
Managed Care: A Response to the Incentives of Traditional Insurance | p. 350 |
Why Managed Care? | p. 352 |
Types of Interventions | p. 357 |
Consumer Side | p. 357 |
Which Interventions Work Best for Managed Care? | p. 368 |
Long-Run Issues | p. 370 |
Summary | p. 374 |
Related Chapters in Handbook of Health Economics | p. 374 |
Problems | p. 374 |
Government Provision of Health Insurance | p. 376 |
The Medicare Program | p. 378 |
Medicare HMOs (Medicare Advantage) | p. 381 |
Operational Changes in Medicare | p. 390 |
The Medicaid Program | p. 411 |
Summary | p. 416 |
Related Chapters in Handbook of Health Economics | p. 418 |
Problems | p. 418 |
Medical Malpractice | p. 420 |
Background of the Legal System in the United States | p. 421 |
The Economic Logic of Negligence Law | p. 427 |
Judicial Error, Defensive Medicine, and "Tough Guys" | p. 430 |
Medical Malpractice Insurance | p. 433 |
Evidence on Actual Deterrence | p. 434 |
Malpractice Awards: "Lightning" or a "Broom Sweeping Clean"? | p. 445 |
Tort Reform | p. 446 |
Tort Reform Writ Large | p. 450 |
HMO Liability: A New Domain for Malpractice Law | p. 450 |
Summary | p. 452 |
Related Chapter in Handbook of Health Economics | p. 452 |
Problems | p. 452 |
Externalities in Health and Medical Care | p. 453 |
Externalities, Property Rights, and the Control of Externalities | p. 454 |
Externalities of Contagion | p. 456 |
Solutions to the Externality Problems | p. 464 |
International Issues-Expanding the Scope of the Externality | p. 467 |
Externalities from Tobacco | p. 469 |
Information as an Externality | p. 472 |
Research as an Externality | p. 475 |
Reasons for So Little Research on Medical Effectiveness | p. 476 |
Transfusion-Induced AIDS and Hepatitis | p. 478 |
Summary | p. 480 |
Related Chapters in Handbook of Health Economics | p. 480 |
Problems | p. 480 |
Appendix to Chapter 14: Value of Life | p. 481 |
Managing the Market: Regulation and Technical Change in Health Care | p. 484 |
A Taxonomy of Regulation | p. 485 |
Licensure | p. 486 |
"Certificate of Need" (CON) Laws | p. 493 |
Drugs and Devices: The New Wave of Medical Care | p. 507 |
Summary | p. 526 |
Related Chapters in Handbook of Health Economics | p. 527 |
Problems | p. 527 |
Universal Insurance Issues and International Comparisons of Health Care Systems | p. 529 |
General Considerations for a National Health Policy | p. 531 |
Review of Health Policy and Systems in Selected Countries | p. 541 |
Snapshots of Four Countries | p. 542 |
Aggregate International Comparisons | p. 552 |
Increase in Costs and Health Outcomes | p. 562 |
A Final Conundrum | p. 566 |
Summary | p. 566 |
Related Chapters in Handbook of Health Economics | p. 567 |
Problems | p. 567 |
Author's Postscript | p. 569 |
Appendix: Introduction to Basic Economics Concepts | p. 571 |
The Concept of Utility and Demand Curves | p. 571 |
The Demand Curve by a Society: Adding Up Individual Demands | p. 576 |
Using Demand Curves to Measure Value | p. 577 |
The Problem of Supply of Goods | p. 579 |
Market Equilibrium | p. 585 |
Monopoly Pricing | p. 588 |
Monopolistic Competition | p. 591 |
Bibliography | p. 595 |
Acknowledgments | p. 623 |
Index | p. 625 |
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