Economic Impacts on the Health Care System – Health System Example

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'Economic Impacts on the Health Care System' is a perfect example of a paper on the health system.   Normally, the economy is meant to shape some complex interactions such as employment, health coverage, and cost as well as financial access to health care outcomes. The common effect of the economic stress and associated surges also observed may surface in the lesser obvious ways that vary markedly in the current markets. In the event of economic downturns, a few employers can drop the health coverage or even restrict employee's eligibility. Mostly, they cause a reduction in costs by changing the benefits and the cost-sharing provisions (Larkin, 2011).

The employees within the low-wage jobs and those working in small firms are likely to be uninsured, but the recession affects quite a broad area of the workforce. Due to the changes in the economy, patients have been hindered from seeking inpatient, as well as some elective services. Research has shown that physicians and the nurses have been engaged in re-entering or even remaining in their workforce a little longer than expected and the majority have established new financial arrangements with health centers and other related groups to ensure that they get a steady income (Yeager, 2013).

Over a period, there have been various downswings and the recoveries in the economic recession based on a few research. Throughout some years, the employers who sponsored health insurance had for some time been inactive as a source of coverage mainly for the nonelderly population (Scott, 2013). It had been backed up in several ways specified by the known public policies that are designed to protect such people who lose their jobs with some additional support from the from federal legislation inclusive of the Health Insurance Portability and Accountability Act and other companies that are related.

In the period, there has been a significant change in the health benefits as well as the cost-sharing that has been available within the group and also in the individual insurance markets as well as in public programs. Clearly, the loss of jobs amongst individuals resulting in the economic recession has been an outright source of associated reductions in the health coverage.

The impacts of the economy changes include the changes in the demand or even access to health care but as well in organizations' and the practitioners' financial status. Reports describe the falling revenues associating it to decreased demand particularly for the less non-urgent or even the elective care, most patients are found not able to cater for their medical bills, there is a significant investment income loss, also a little charitable giving as well as cuts within the health care funded by the state or even the localities (Yeager, 2013). The effect on the economic contractions could be a challenge hard to defend since they run concurrently with sustainable growth in the health sector.

Rather than the actual contraction, the economic recession may have resulted in quite slower development of healthcare-related jobs in the entire perception (Scott, 2013). Among the fastest-growing employment within the health care have been jobs like therapists, technicians, aides and personal care assistants that are distributed to both public, as well as the private sectors of the affected economy. Indeed, cost-cutting affected by the hospitals and the public programs that struggle with deficits in the budget would cause slow but temporary growth in the jobs.

In the same event, the recession has caused an increase in the demand for a cure in the community that has provided subsidized and low-cost care (Sturmberg, 2013). In regard to this many health centers in the communities have reported a challenge in the number of uninsured patients who come seeking a cure. The recession on the economy has influenced the pressure on health professionals particularly on revising their careers, as well as their retirement arrangements.

Evidently, the employment of registered nurses, for instance, grows when there is an economic downturn. Recently, research analysis claimed that concerning a family income, for example, when the spouse is laid off consequently leads the nurses into reentering the job market. Again, the retrenchment of health providers has significantly reduced the number of jobs for the nurses’ openings in a few market segments (Scott, 2013). Actually, staff reduction, which is associated with a downturn especially in the elective hospital admissions in combination with a growing number the nurses who seek to return to work, causes a shortage of job vacancies for the nurses.

This temporarily rush into the market of labor is followed by averagely mass exists in the period of economic recovery which intensifies a very long-standing shortage of nurses. The prevailing demand for health care same as the benefits brought forward have persisted and the demand is still expected to increase in account with a significantly large proportion of any national economy (Sturmberg, 2013). Importantly, as health care expansively grows proportional to its cost, the economic forces that affect access outcomes and the cost have indeed intertwined problems found with various subgroups of some population.   In understanding the effects of the economic variations, it has been critical in an attempt to sort out the pressing impact of the economy based on the health coverage, structure, utilization, and efficiency of the health care delivery from the long-term structural differences (Sturmberg, 2013).

Reforms implemented on the current system that would mainly ensure that people obtain comprehensive health insurance, and the ability in retaining it even when there are elaborate economic contractions, could almost and positively moderate the variable health care accessibility as well the utilization in the economic scenario (Larkin, 2011).

In addition, delivery system reforms like the investments in the health information fields and the evidence-based management systems would greatly assist in addressing the problem associated with the accessibility of the required health care. In the evaluation of the reforms and clearly understanding the complete impact of failure to bring out changes in the health care coverage and the delivery systems for the sake of a nation, there is a need to explicitly draw a program based on more complete data which basically would compose of data to link people, the insurance coverage, their employers, costs, their health care utilization inclusive of how the interrelated factors bring changes over time and equally across various populations (Larkin, 2011).

Out of the collected data, measures relevant would be taken to reduce the impact of the recession on the health care system delivery.


Larkin, M. (2011). Social aspects of health, illness, and healthcare. Maidenhead: McGraw-Hill/Open University Press.

Scott, I., & Spouse, J. (2013). Practice-based learning in nursing, health and social care. Chichester, West Sussex: Wiley-Blackwell.

Yeager, K., Cutler, D., Svendsen, D. & Sills, G. Modern community mental health.

Sturmberg, J. (2013). Handbook of systems and complexity in health. New York [u.a.]: Springer.

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