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Allocating Vote: Health - 'Needs Assessment' and an Economics-Based Approach - WP 00/04

Publication Details

  • Allocating Vote: Health - 'Needs Assessment' and an Economics-Based Approach
  • Published: Mar 2000
  • Status: Current
  • Authors: Devlin, Nancy; Hansen, Paul
  • JEL Classification: I10
  • Hard copy: Available in PDF format only.
 

Allocating Vote: Health - 'Needs Assessment' and an Economics-Based Approach

New Zealand Treasury Working Paper 00/04

Published Mar 2000

Authors: Nancy Devlin and Paul Hansen

Abstract

This paper critiques 'needs assessment' as a basis for allocating public funding of health and disability services and discusses an alternative economics-based  approach. In essence, the former approach ignores the effects on health outcomes of health care spending at the margin while the latter focuses explicitly on these considerations. A simple diagrammatic model is introduced that illustrates at a conceptual level the (micro)economic constraints and choices available to policy-makers. Finally, some practical steps and unresolved issues in implementing the economics approach are considered.

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