Economics of healthcare

The economics of healthcare studies how resources are allocated in health services, balancing costs, quality, and access. It involves understanding how healthcare providers, governments, and patients make decisions amid limited budgets and resources. Healthcare economics aims to improve efficiency—getting the best possible health outcomes with the available funds—while addressing issues like rising costs, insurance, prevention, and treatment. By analyzing these factors, it helps shape policies and systems that ensure effective, equitable, and sustainable healthcare for society.