Health_Care_Economics_Chapter02.pdfThis week provides a look at the history of economics and introduces you to basic economic terms from a health care provider perspective. You and your family are an economic microcosm. Every day, you make choices on supply and demand. You have a limited supply of resources and competing demands. Some choices are elastic. You can wait for a better price or a greater choice before you make your purchase. Other items are inelastic. Despite the price, you must heat your home and put gas in your car for instance. Once you apply these basic economic terms to life, you are ready to consider current economic trends in health care. This week’s readings will introduce you to the historical reasoning for the spiraling cost of health care that we experience today. As you read the material and start your assignments, you will see we have a difficult challenge for today and for the future. Consider that economic impacts can be found in the areas of political, social, medicine and technological influence, to mention a few. As you think about our Week One readings and the historical evolution of health care from an economic perspective, think of the economic impacts today that contribute to the cost of health care. Choose one economic issue we are faced with today to discuss with us and why that you believe is a challenge today. Support your assertions with examples, facts, figures or other information. Practice using the new terminology you learned so as to be comfortable using the terminology correctly.