Concepts that define financing health care including risk, demand, and elasticity
Read the article (link is provided below) and post a two three page analysis of the article. The analysis should include (1) a summary of the article, (2) identification of the issues of risk for the pharmceutical company AND for the patients, (3) a discussion on the impact of change in copayments on the increase or decrease in demand (you may also want to touch on whether the need for the medication and available supply is impacted if demand is…l) and (4) an analysis of what this article tells us about the elasticity of clinically recommended medication. Conclude your analysis with your thoughts on this: does medical necessity make a service or product elastic or inelastic? Is demand ever stable in healthcare? If you are running a hospital, why are these questions important?
Your analysis should be clearly written and succinct. You can use bullet points and text. What seems like a basic article on utilization should give a reader few insights into risk, demand and elasticity.
This is the article you must read and give a response below:
Campbell, J., Allen-Ramey, F., Sajjan, S., Maiese, E., and Sullivan, S. (2011) a?Increasing Pharmaceutical Copayments: Impact on Asthma Utilization and Outcomes. American Journal of Managed Care, v 17 n 10, pp 703-710
Link to article provided here: AJMC_11oct_Campbell_703to710