This popular textbook provides a comprehensive but accessible coverage of health economic principles and applications. It provides an introduction for those with no previous knowledge of economics, but also more advanced material suitable for those with a background in economics. Now into its second edition, Barbara McPake and Charles Normand have incorporated developments in economic evaluation and economics of health systems from recent research and experience while retaining an accessible approach and style.

The book starts with a section on basic economic principles as applied to health and health care, and goes on to discuss economic evaluation in health care, the economics of health systems and health care finance. Examples and illustrations are taken from a wide range of settings and world regions, reflecting the authors’ belief that the same principles apply, and that it is useful to have some understanding of how different countries organise the health system. It provides an understanding of the performance of different health systems from the insurance based approaches in the United States to government funding that is common in Canada and most countries in Europe, and the mixed systems that operate in most low-income countries.

This book is ideal for students in public health and related courses, for health care professionals and those studying health economics at a more advanced level.

part |2 pages

Part I Introductory health economics

chapter 2|9 pages

The demand for health and health services

chapter 3|8 pages

Demand, elasticity and health

chapter 5|6 pages

Cost of delivering health services

chapter 6|10 pages

Basic market models

chapter 7|8 pages

Supplier-induced demand and agency

chapter 8|8 pages

Market failure and government

part |2 pages

Part II Economic evaluation

chapter 10|11 pages

Issues in the measurement of costs

chapter 11|15 pages

Measuring benefits in economic evaluation

chapter 12|9 pages

Practical steps in economic evaluation

part |2 pages

Part III Further economics of markets and market intervention

chapter 14|11 pages


chapter 15|14 pages

Market structures

chapter 17|11 pages

The economics of regulation

chapter 18|15 pages

Incentives and agency

part |2 pages

Part IV The economics of health systems

chapter 19|10 pages

Health systems: a framework for analysis

chapter 22|10 pages

Voluntary insurance-based systems

chapter 23|8 pages

Social insurance systems

chapter 24|16 pages

Parallel systems

chapter 25|12 pages

The economics of health sector reform