Health economics is a subfield of economics that applies economic ideas to health and health care problems.
Both health and health care are commodities with distinct qualities that distinguish them from conventional products and services traded on private markets.
This means that economics must pay special attention to the allocation of resources allocated to creating health care and modifying health.


Directly acquiring health is not possible.
Rather than that, it is "created" at various degrees and combinations of health "determinants," that is, elements affecting health and illness.



Health Economics is defined as


Health economics is a subfield of economics concerned with the efficiency, effectiveness, values, and behavior of the health and health care industries and consumers.


Health economics applies economic principles to health and health care concerns.
It examines the elements that affect an individual's or population's health and the most effective strategies to use whatever resources are available for health improvement.



Thus, health economics is concerned with the research of social mechanisms for allocating health resources, or more precisely, how society coordinates its efforts to meet its population's healthcare demands.
Economics as a behavioral science has an impact on health economics as a subbranch due to the economic perspective on healthcare concerns.
In summary, health economics is the discipline of economics that studies how economies allocate resources to health care.
Healthcare is contingent upon worldwide innovation in healthcare services and technologies, which involves a diverse variety of stakeholders, including health scientists, governments, vaccine developers, patients, and the general public.