Create a 10 pages page paper that discusses models of health production. As the discussion highlights that the healthcare facilities are the providers of healthcare services. Under the supply principle, the health care facilities can increase the quantity of supplies needed to serve the increasing demand for their services. For example, if the patient queue, long line, increases due to lack of nurses and doctors serving the needs of the increasing number of patients, the healthcare facilities has to increase their healthcare capacity. The healthcare facility may have to hire more nurses and doctors. The additional nurses and doctors will reduce the long line of patients seeking medical help.
This study outlines that the health economics principles include the demand theory. The patients are the users who demand for healthcare facilities. The theory states that as the prices of good and services increase, the demand for the products or services increase. Patients would troop to the healthcare center that offers the lowest possible hospital fee. The patients’ economic status gives the patients the significant influence to seek a healthcare facility that caters to his or her economic capacity. To the rich citizens of America, they would seek medical help from the specialists. .On the other hand, the poor patients have to other recourse but to choose more affordable medical facilities. The poor patients have to visit government hospitals that offer low medical laboratory fees. The poor patients have to visit medical facilities that cater to the indigent patients.