1. Economics of Public Health Nursing
Chapter 8
Economics of Public Health Nursing

2. Economics
Study of how scarce resources are allocated
Supply
Demand

3. Economics Allocation of scarce resources Opportunity costs Preferences
Uncertainty

4. Economic Decision Making
Economic logic
Scarcity
Preference
Opportunity costs
Uncertainty

5. Basic Economic Reasoning
Decision making at the margin
Marginal benefit
Utility
Profit

6. Economic Reasoning in Public Health
Profit maximization and cost minimization
Fixed cost
Variable cost
Efficiency
Technical efficiency
Technical rate of substitution
Allocative efficiency

7. Economic Reasoning in Public Health
Economics of for-profit and not-for-profit organizations’ behavior
Organizational objectives
Minimizing costs
Discount rate

8. Economic Reasoning in Public Health
Economics of an individual investment in health
Health promotion and disease prevention
Motivation
Valuing the future

9. Economic Reasoning in Public Health
Effects of one person’s behavior on another person’s health
Externalities
Positive: Immunizations
Negative: Smoking

10. Economic Reasoning in Public Health
Decisions under uncertainty
S-CHIP
Economic evaluation using cost benefit and cost effectiveness analyses
Cost benefit
Cost effectiveness analysis
Quality Adjusted Life Year (QALY)

11. Economic Reasoning Economics of the public health nurse labor market
Labor supply curve
Reservation wage
Individual motivation to work
Backward bending supply curve