Health economics: a global review and prospection

Abstract

Health systems are increasingly affected by the convergence of public-health, economic, demographic, technological, and environmental pressures, including non-communicable diseases that account for more than 70% of global deaths and antimicrobial resistance, which is projected to cause 10 million annual deaths by 2050, with economic losses comparable to the 2008 financial crisis. This article aims to review health economics as a framework for understanding and improving the allocation of scarce healthcare resources, with emphasis on efficiency, equity, sustainability, and global health-system resilience. Using a narrative global review and prospective policy analysis, the paper synthesizes evidence from international organizations, academic literature, policy reports, and comparative case studies of different healthcare financing models and national systems. The review identifies major theoretical foundations of health economics, including supply and demand, opportunity cost, cost-effectiveness analysis, market failure, information asymmetry, externalities, and the role of government intervention. It also highlights global disparities in healthcare expenditure, universal health coverage, workforce capacity, disease burden, and emergency preparedness. The findings suggest that sustainable health-system reform requires stronger global health governance, equitable financing, expanded universal health coverage, health-workforce investment, improved pharmaceutical access, and responsible integration of digital health and artificial intelligence. The article contributes by connecting health economics with sustainable policy design and by outlining practical directions for more efficient, equitable, and resilient healthcare systems.