Health Production Functions. Outline. Measures of Health Concepts: Health Production Function Marginal Product of Health Historical Health Production Functions Modern Health Production Functions Contributions of health care Lifestyle & Environment (Pollution) Education.
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Health Production Functions
What do we want:
A measure of the population’s health status, that captures those aspects of health that are meaningful, and can be measured with accuracy (i.e., quantifiable).
Problems with mortality measures
Health Production Function: describes the relationship or flows of inputs and flows of outputs over a specified period.
Health Status (HS)
Does it make sense the curve flattens out, should it bend downwards again?
A>B : as you increase the number of health care inputs, the effects on total health status decrease.
Health Care Inputs (HI)
Marginal Product of Health Care
Marginal Product: Is the increment in health status caused by one extra unit of Health Care, holding all other inputs constant?
MP is diminishing in size, demonstrating the law of diminishing marginal returns.
Health Care Inputs
The development of antibiotics helped, but it came very late in the process.
Medical advance appears more important for cardiovascular disease.
First epidemiological study in public health
Peak of flu pandemic
4th quarter of 1918
Spike in poor health:
2nd quarter of 1919
Do you think the elasticities will be the same in other countries developed or developing?
Young blacks benefit more than whites
Rand Health Experiment (continued)
Folland, et al. use this as evidence that health care has little effect on health status.
Concludes the lifestyle is an important part of health.
1. Education central to health
1. Health important