In the world of public health, careful planning, data analysis and effective execution are crucial for improving health outcomes. Health economics is central in this process, providing a framework for making informed decisions that enhance public health efforts.
Public health professionals must understand the fundamentals of health economics and how health economics works hand-in-hand with public health initiatives. The University of Texas at Arlington (UTA) online Bachelor of Science in Public Health (BSPH) program prepares students to develop critical health economics principles and apply them in their careers.
What Is Health Economics All About?
Health economics is a field of study that applies economic principles to healthcare. It focuses on allocating resources to improve health outcomes, assess the cost-effectiveness of healthcare services and analyze healthcare markets. Health economists evaluate the costs and benefits of medical treatments, interventions and public health policies — ensuring the efficient use of resources. The goal is to optimize healthcare delivery while maximizing health benefits for individuals and populations alike.
Health economics covers a wide range of topics, including the pricing of healthcare services, the effects of health insurance on access to care and the evaluation of public health interventions. For example, determining the cost-effectiveness of a new vaccination program requires understanding the costs associated with developing, distributing and administering the vaccine — as well as the potential benefits in terms of preventing illness and reducing healthcare costs.
What Is the Importance of Health Economics?
Health economics is vital for ensuring that limited healthcare resources are used in the most effective way possible. Public health systems operate under financial constraints, and health economists help decision-makers prioritize spending on interventions that offer the greatest health benefits relative to their costs. This approach is known as cost-effectiveness analysis, a core tool in health economics.
The importance of health economics extends beyond financial considerations. It also promotes health equity and economic justice by advocating for policies that provide access to healthcare for underserved populations.
The Center for American Progress notes, “Investing in public health infrastructure would not only improve health and reduce costs but also advance economic justice and equity.” This underscores the role of health economics in supporting public health systems that are both efficient and equitable.
Public Health and Economics: A Symbiotic Relationship
Public health and economics are interconnected, as both disciplines aim to improve societal well-being. Public health focuses on preventing disease and promoting health at the population level, while health economics ensures that these efforts are carried out in a cost-effective and sustainable manner. The collaboration between these fields is crucial for creating public health policies that maximize impact and minimize costs.
For example, during the COVID-19 pandemic, health economists played a critical role in evaluating the costs and benefits of different public health interventions such as social distancing measures, mask mandates and vaccination campaigns. According to the New England Journal of Medicine, their analyses helped policymakers make informed decisions about allocating resources and implementing strategies that saved lives while minimizing economic disruption.
Health Economics in Public Health Education
The New England Journal of Medicine notes that given the importance of health economics in shaping effective public health policies, it is essential for future public health professionals to be well versed in these principles. UTA’s online BSPH program prepares students to integrate health economics into their public health careers. The program equips students with the knowledge and skills to analyze healthcare systems, evaluate health policies and apply economic principles to improve health outcomes.
One of the relevant courses in UTA’s program is Consumer Health and Public Health Systems, which explores how economic factors influence healthcare delivery and public health systems. Students learn to assess the financial sustainability of public health interventions and make evidence-based recommendations to optimize resource allocation.
Promoting Health and Economic Well-Being
Health economics is a foundational element of public health, ensuring that public health professionals use resources efficiently to achieve the best possible health outcomes. By analyzing the costs and benefits of healthcare interventions, health economists help public health professionals design and implement policies that promote health equity and economic justice.
UTA’s online BSPH program is only available to Texas residents. The program provides students with the educational prowess needed to apply health economics principles in their careers, preparing them to contribute to a healthier and more equitable society. Combining public health and economics can create sustainable systems prioritizing both health and economic well-being.
Learn more about UTA’s online BSPH program.
