Econoclasm Chapter Two, continued: Medical externalities

 I ' ve had a request to say more about inflation. That ' s a bit off topic for the time being, but I ' ll get to it.Medicine is also unlike most other goods and services in the extent to which it has important positive externalities – that is, benefits for people outside of the transaction, who are not the providers or consumers. (Of course it has negative externalities as well, including carbon emissions and notably, a huge quantity of plastic waste.) A straightforward positive externality is infectious disease control. Prev enting or curing infectious diseases prevents them from being transmitted to others. This is an immense benefit to society that goes far beyond the direct value to people who are vaccinated or treated. Another positive externality is that people with curable or ameliorable sickness or disability who might otherwise not be able to work can remain in or return to the labor force, and so improve the economic well-being of themselves and their families, and the productivity of the entire economy. They can also better take care of their children or other dependents, maintain their households, volunteer in the community, pay taxes, give to charity, and whatever other good things healthier people are better able to do. And obviously it is distressing to people when their friends and loved ones are sick, disabled or in pain. It may even require them to give up other productive work to care for someone else. Even if they aren ’t directly affec...
Source: Stayin' Alive - Category: American Health Source Type: blogs