- BHA FPX 4112 Assessment 2 The Supply and Demand of Health Care.
The Supply and Demand of Health Care
Health generates advantages at the individual level for a community and at the economic level for the world. Everyone around you requires health, and the hospitals, government, and insurance companies that offer these services fulfill this need.
Supply and demand are two interrelated standards; by this, they are interacting forces. However, the concept of supply and demand in the medical industry is different from that in other sectors. In this article, information will be given on many factors that are considered to be connected to the supply and demand of health care. A comparison between the nature and types of supplies in healthcare, legal advancements, and procedures of reimbursing are explained below.
Demand: Health Care Services and Automobile
People are the loins of production and the support and the sustainable future of the world, without which the world appears to be mere nonsense. Thus, in circumstances where the medical world is changing every day by expanding the several kinds of disease, the human need for health is also increasing McCartney et al., 2019. This leads to human beings, namely the consumers of the care services, demanding improved care services from their government as well as from the carer.
In research papers, when the question is posed to people and asked about a concern of health or why fitness matters, people tend to blank out. This has to be because people today are required to be informed on the aspects of health. Today, people are expected to spend more of their money on the opportunities that come their way rather than on their health, which they need most (Lehmann et al., 2020).
That is already clear, as scarcity of anything enhances the demand for it. Sickness occurs when people have no idea concerning their health; in the process of suffering, they develop a new appreciation for their well-being. A consumer’s desire to be healthy typically summons the demand for healthcare.
BHA FPX 4112 Assessment 2 The Supply and Demand of Health Care
Costs in the realm of health are among the primary drivers of the continual need for healthcare services. In this case, the costs of treating the given disease mostly outweigh the annual costs of a patient if the latter falls ill. In a recent survey, it was identified that many patients in America have continued to delay their appointments with their healthcare providers since the costs are rising, leading to financial challenges (Al Shamsi et al., 2020). This eventually results in the fact that despite the careless behaviour towards health, many people require good health due to the rising costs of health.
The requirement for vehicles for the past few years has been thriving up primarily due to the rise in the price of fuel. Because the cost of fuel rises, the requirement of individuals to travel in compact automobiles also increases; as a result, this fueled the need for autos (Shiraki et al., 2020). Research has revealed that due to the influence of the pandemic, the market for car supplies was affected (Yan et al., 2022). Hence, after COVID-19, the demand for car supply was ignited to reduce the contact between people able to travel.
Considering the relationship between the demand for health care and the automobile, both services aim to make their clients or consumers comfortable (Ansar et al., 2021). However, when comparing both facts, when a patient visits a hospital, and he/she is unable to pay the bill for he/she needs healthcare services, the healthcare providers morally have to admit the patient due to commitment and promise to take care of everyone. However, if a person gets to a car dealer to purchase a car but needs more money to pay for it, he or she is dismissed instantly by the dealer. The service will only be provided if the money is available (Rashidi et al., 2021).
Supply: Health Care Services and Automobile
This raises the supply-demand relation because of the rise in complications in the medical field. Nevertheless, hospital-visiting patients encounter several challenges (Getele et al., 2020). These complications include inadequate staffing, particularly within hospitals, queues in clinicians’ practices, and drug scarcity. Understaffing and acquiring health services from caregivers remains a severe challenge, but with COVID-19 at that time, this issue was minimized (Lasater et al., 2020).
The above study has also demonstrated that the integration of Lean Supply Chain Management in healthcare service delivery can assist in supplying healthcare services to the targeted areas that are hard to supply or provide (Niemsakul et al., 2022). As the pool of patients expands, the necessity to increase the number of physicians who would be able to treat them rises as well. The factor discussed above applies pressure on the supply side for health care services.
Because of the need for a detailed outline of expenditures and the wrong financial strategy, rural hospitals in America were shut down (Germack et al., 2019). These hospitals are the essential source for the provision of health care whenever a disaster occurs. In that case, people are often forced to travel long distances to access the required treatment at hospitals.
BHA FPX 4112 Assessment 2 The Supply and Demand of Health Care
This explains that while the demand for healthcare services is excellent, the supply of healthcare services is decreasing daily. The most direct cause that relates to the supply of automobiles is the price. These prices consist of such aspects as the sale price and the manufacturing price. In this case, if the price of manufacture is high, this automatically pushes up the cost of purchase to the consumer.
The higher price affects the supply in the sense that demand for automobiles from the people is also affected and becomes low. Similarly, if the prices go down, the pool receives more because, in that case, that particular automobile is demanded by more people (Liu et al., 2020).
Legislative Trend: Influencing the Demand and Supply of Healthcare Services
The two aspects have the strength of constituting themselves into a legislative practice. Consumerism and transparency have been active in the past few years; when a consumer invests their hard-earned money in a particular health service, they expect their healthcare givers to provide increased transparency in the available options (Vogenberg & Santilli, 2019). What this implies is that every time there is an availability of patients willing to be treated at a fair price, there is a corresponding rise in the demand for improved service delivery among the target clients.
BHA FPX 4112 Assessment 2 The Supply and Demand of Health Care
A portion of patients cannot afford the incurred healthcare costs. For this purpose, eligibility for Medicaid is the public assistance healthcare program in America that offers better healthcare services for people with a low family income. These programs thus have a relatively higher demand and supply in the healthcare system, according to Garfield et al., 2018.
They made different types of impacts, positive or negative, depending on the perspectives and points of view other people and entities have towards Medicare and Medicaid.
Among them, Medicare and Medicaid are two programs that embrace people of all ages to offer medical care to such individuals. Federal health insurance addresses all ages, specifically people with medical incomes (Gordon et al., 2020). On the other hand, Medicare is a health assistance program that focuses on people aged 65 years and above.
They also help people with disabilities in the society. Disabled means persons with disabilities, particularly the youths; disabled here implies youths (Lopez, 2020). These are programs such as Medicaid and Medicare that assure safe and worry-free access to health care services, excluding financial issues and other monetary barriers within the path to medicine.
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Uninsured Population
Other vulnerable categories are those in which the people of this population are not enrolled to have health life insurance. To be in the uninsured population in America means that one is expected to have a massive budget for health articles since one’s expenses on these services are not covered under health insurance.
They have included medical disproportionate share hospital payments, the Veterans Health Administration, and state and local indigent care programs (Coughlin et al., 2021). What can be said about the uninsured population in terms of identifying its effects is that the calls for funding to improve the wanted care practices have been on for many years. But the supply still has to play the catch-up game with the needs.
Reimbursement Methods: for the Supply and Demand of Healthcare Services
The side stakeholders who pay for healthcare services and who eagerly await to offer better services to people may include employees, relevant departments of the government, particularly those in the healthcare sector, physicians, firms, and pharmaceutical firms, among others (Concannon et al., 2018).
These may be the stakeholders, which are people, patients, government departments, insurance companies, and firms where reimbursement schemes may be given. The reimbursement programs comprise innumerable options; one of them is the Medical Expenses Reimbursement Plan.
BHA FPX 4112 Assessment 2 The Supply and Demand of Health Care
Although there are several health insurance programs in this program, the employee is accorded with tax-free money. Subsequently, this amount is recovered from the salary of the employee or his/her pocket, depending on his/her designation in the organization. With this money, the employee can provide several healthcare services (Asim, 2020).
Another program that is laid down is the Capitation Reimbursement program, in which the care provider is given a sum of money, and the fate of the particular patient is determined. Well, whether the patient is receiving treatment or not is a relative decision of the patient receiving the treatment.
However, this amount of money is already included in the cost and is paid to the care provider in exchange for a free checkup of the patient (Tummalapalli et al., 2022). These above methods enhance the availability and demand for health care services, and patients have the opportunity to find the appropriate treatment for a particular disease.
Conclusion
This article uses health care as a product and relates it to automobiles. It concludes that the automobile is associated with machines; however, healthcare services are related to the health of people and their lives and entail time for recovery.
In the context of the automobile industry, people can buy anything they want, but in health care services, people cannot buy health. Admittedly, health requires time to heal jointly with a particular focus. Read more about our sample BHA FPX 4112 Assessment 1 Health Production Function for complete information about this class.
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