Supply and Demand in Healthcare

Supply and demand in healthcare refers to the relationship between the availability of medical services and the need for them. When the demand for healthcare services—such as doctor visits or procedures—exceeds the supply, patients may face longer wait times or higher costs. Conversely, if there are more healthcare providers than patients needing care, prices may decrease, and access improves. Factors influencing this balance include population demographics, advancements in medical technology, and policy changes. Understanding this relationship helps explain fluctuations in healthcare access, costs, and quality of service.