Economic Determinants

Prof. Buenalyn Teresita Ramos-Mortel

Economics

Process of provisioning a society with the goods and services it requires to meet the needs of members of society

Susser, Watson and Hopper

Economics

How men and society utilize scarce or limited productive resources to produce various commodities and distribute them to various members to society for their consumption

Samuelson

Political Economy

Social and institutional processes through which certain groups of economic and political elites choose to allocate scarce productive resources now and in the future for their own benefits or that of the larger population

Socio-economics

Income, wealth, poverty, and health are strongly related people who are poor tend to have worse health outcomes than people who are rich
As population wealth increases, so the health status of the population rapidly improves

Socio-economics

Describe those factors that affect a persons ability to act as a free agent, and to engage with and influence the society around them
Income, wealth, level of education, and social influence

Macro-economic Issues

Micro-economic Issues

Culture of poverty

Oscar Lewis, 1959 The poor use preventive services less often and they are less knowledgeable about appropriate health behavior because they possess a culture which does not place a high value on health

Socio-structural view

The poor have undergone multiple negative experiences with organizational systems, leading to avoidance behavior, lack of trust, and therefore avoid seeking professional care and only follow medical regimen in emergency situation

Scenarios for the Future and Social and Cultural Development

Health Conditions

Health conditions are directly traceable to certain specific factors

Availability of nutritious food and safe water Sanitation Environmental and medical practices Access to affordable and effective medicines

Health Conditions

Health conditions are influenced by broader socio-economic and institutional circumstances which ensure (or curtail), for example, the supply of good food, water, and air, the affordability of medicine and the accessibility of health services

Broader socio-economic and institutional circumstances

Self-sufficiency in agriculture can help meet nutrition needs Literacy can help improve sanitation and environmental quality Peace and order would mean greater mental and physical security and would facilitate delivery of health services

Broader socio-economic and institutional circumstances

Low literacy can mean ignorance about and lack of access to health services Environmental decay can reduce the income of vulnerable groups, and hence access to services Industrial and technological advances can bring along occupational stresses and health hazards

Broader socio-economic and institutional circumstances

Capitalist ethos of relentless profitmaximizing tolerates aggressive advertisement of cigarettes, alcoholic drinks and junk food aimed at young people

Measures that should be immediately taken

Implement the Health Insurance Law enacted in 1995; persuade SSS to give its share of funds
Increase the capabilities of local government units in health management, resource mobilization and investment in health

Measures that should be immediately taken

Redefine the role of the DOH in the context of changing modes of health service provision and delivery due to devolution and privatization

Measures that should be taken beyond the first decade

Introduce changes in the medical education in line with changes in the mix of preventive-curative services Increase peoples awareness of how lifestyles can affect health and how they can articulate their demands for health

Health policies should

Mobilize and empower the masses toward self-reliant and selfsustaining management of their health problems
Support and develop communitybased and managed health care approaches

Health policies should

Encourage optimum and proper mobilization and use of health resources at all levels, incl indigenous community resources
Support the strategic distribution and use of appropriate medical care and information technology to improve health services

Health policies should

Ensure and strengthen commitment, participation, and collaboration among government, NGOs and communities in health and overall development efforts

STYLIZED FACTS LINKING ECONOMIC GROWTH AND URBANIZATION WITH HEALTH OUTCOMES

Income, Urbanization, and Urban Health

Population and economic growth will be urban-centered More of the poor will be living in the cities Urban poverty begets slums

Income, Urbanization, and Urban Health

Poverty and slums equal greater health inequity Rising incomes can directly improve health status and lessen health inequity by financing provision of public goods

Income, Urbanization, and Urban Health

Capital (physical and human) and TFP (total factor productivity) drive growth in industrializing countries
Income inequality follows in the wake of GDP growth

Income, Urbanization, and Urban Health

Income inequality does not impact on health conditions Clean water and sanitation make healthy cities

Consider this.

Relying mainly on the heavy artillery of expensive and often ineffectual curative medicine may not be a cost-effective approach

Consider this.

The pay-off from these four areas infrastructure, primary health care, education, and urban and transport design in terms of health outcomes would completely dwarf the returns from new drugs and curative hospital-based medicine

Yusuf, Nabeshima, Ha, 2007