Question

Healthcare demand is different from the demand for other products or services. In this topic, show your understanding of healthcare demand by discussing the following questions.

-What make the demand for healthcare services unique?

- What factor are considered to influence demand for healthcare services the most? Explain why.

- What methods can be used to predict demand for healthcare?

Answer 1

answer-

The thing that makes demand for healthcare services unique is that when we purchase a healthcare service then we are making investment in our health. The demand for health care is a derived demand from the demand for health.Health care is demanded as a means for consumers to achieve a larger stock of “Health capital”.The demand for health is unlike most other goods because ,individuals allocate resources in order to consume and produce health.

The factor that are considered to influence demand for healthcare services the most first definitely the price because when price of getting treatment from hospitals are high then we purchase health insurance services so that we can get health treatment at low cost..The second factor is Government because government make healthcare laws like Obamacare which had created the demand of healthcare services high. Under government laws, government can lower cost of health insurance, prices of medicines etc so that people would avail healthcare services.Thid factor is Mortality means how likely we are to die at different ages so people who want to remain healthy and live longer tend to purchase healthcare services more.

The methods which can be used to predict demand for healthcare first used Predictive analytics that uses statistical techniques to determine patterns and predict future outcomes by utilising information from large data sets. There is a wealth of health data which could be analysed to help forecast demand forhealth care services. second is Time series analysis that is also a statistical technique that deals with time series data, or trend analysis. Healthcare organizations can use past healthcare data and preduct trends in the industry to forecast demand.Thid is qualitative method which involves expert opinions like well known doctors, physicians,healthcare institutes to predict the demand for healthcare.