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Cost Analysis and Health Care Policies

Cost efficiency analysis is vital in influencing the development of health care policies intended to bring efficiency in the provision of health care. They argue that cost effective analysis aid in the distribution of new approaches in the provision of health care through identifying the most cost effective approach and championing for its adoption globally. For instance, the micronutrient supplementation analysis conducted by WHO-CHOICE indicated that the approach was cost effective in all regions and hence developed it to a health policy. Cost analysis studies further influence policy development on the type of workers to use in the health sector. In case the outcomes of nurses are higher than those of other health care providers, customer satisfaction in nurse practitioners services is good, and their services cost less than those of other health care providers, then policies are created to make nurses the most effective and preferred health care providers.

The adoption of cost-effective practices in health care depends on the views of the concerned health decision makers. Most cost-effective practices are adopted into law, but the decision makers adopt them after determining their suitability and the cost implications at their initial stage of implementation. For instance, although supplementation was found to be cost effective in all regions, vitamin A supplementation has received numerous support from international agencies. However, most countries have failed to adopt zinc supplementation as they feel that it is not as necessary in their country as Vitamin A. Moreover, the adoption of presumptive immunization of polio would be more cost saving and brings better outcomes compared to pre-vaccination serotesting in immigrant infants and internationally adopted infants. Presumptive immunization has since been adopted as a law in the United States for all immigrant infants and internationally adopted infants. Finally, the use of technology is cost effective, efficient and boosts the health care sector through provision of quality services, most health care providers have not adopted the use of technology in their record keeping. Acquisition of technology is expensive; hence, such a policy may take long to be adopted.