Health Economics presents a systematic treatment of the economics of health behavior and health care delivery. Appropriate both for advanced undergraduate and graduate students of economics, this text provides the background required to understand current research,

presenting theoretical models as well as empirical evidence and summarizing key results. Without neglecting ethical concerns, modern microeconomic theory is applied to

formulate theoretical implications and predictions. Issues discussed include the economic valuation of life and health, moral hazard in health care utilization, supplier-induced demand, the search for remuneration systems with favorable incentives, risk selection in health insurance markets, and technological change in medicine.

Economic Valuation of Life and Health

Individuals as Producers of Their Health
Empirical Studies of the Production of Health
Health Goods, Market Failure and Justice
Optimal Health Insurance Contracts
Risk Selection in Health Insurance Markets
Physicians as Suppliers of Medical Services
Hospital Services and Efficiency
Paying Providers
Forms of Delivery of Medical Care
The Market for Pharmaceuticals
The Political Economy of Health Care
Future Challenges to Health Care Systems.