Chapter 11: State Healthcare Provision

Question 1

What are the objectives of state healthcare provision?

Answer 1

PPS B
1. Protect the nations health
2. Political promises and social culture
3. Subsidize the poor
4. Balancing the budget

Question 2

What are the challenges in allocation healthcare resources?

Answer 2

D BTS PC

Demographics (ageing pop)
Burden of disease (general health status)
Tech (new tech and who has access)
Sisyphus (high life in older gen)
Professionals
Competitions and regulation in HC

Question 3

What are the different approaches to resource allocation?

Answer 3

1. Cost analysis
2. Cost-effectiveness analysis (measure non-monetary benefits)
3. Cost-utility analysis (measures quality of life)
4. Cost Benefit analysis
5. Willingness to pay

Question 4

What are some funding approaches for state healthcare?

Answer 4

1. Pay-as-you-go (working population pays, disadv is aging pop that is not working)
2. Forward funding
3. A combination of the two
4. Incentives for self provision

Question 4

What are some state incentives for self-provision?

Answer 4

1. Tax relief on premiums
2. Exclusions from state benefits
3. Tax reduction when insurance is taken out
4. Subsidize HC providers to reduce cost of HC premiums

Question 5

What is the process of forward funding?

Answer 5

1. Set a future period
2. Analyse/estimate level of state provision at that point
3. Produce model of state outgo
4. Estimate population and workforce
5. Forecast tax revenues
6. Work out extra amount needed to cover costs of provisions less tax (amount to set up)

Fund not sens to demo change but complex to administer