This book uses an economic approach to analyze the socioeconomic causes and consequences of mental health disorders in China, with a special focus on mental depression. Based on a nationally representative dataset, we first investigate the prevalence and distribution of depression and depressive symptoms among China’s adult population, and then use several econometric methods to estimate the multi-dimensional disease burden of the mental disorder, such as its direct medical costs, its indirect economic costs, and its hidden costs on social trust and life satisfaction. In addition, we specifically address the socioeconomic determinants of mental health by examining how the relative and absolute economic status may determine people’s mental depression. Lastly, we propose an analytical framework to evaluate the four major hurdles that cause the treatment gaps of mental health care, and discuss the policy options to overcome such hurdles and to address the unmet mental healthcare needs in China and other developing countries. The book may facilitate our understanding on the complex determinants and implications of the rising prevalence of mental health disorders in developing countries like China. In addition to the students, teachers, and researchers in the fields of health economics and public health, the book may also be of interest to health policy makers and non-government agencies who are concerned with addressing the global mental healthcare challenges using economic policy tools.

The pharmaceutical industry worldwide is a rapidly burgeoning industry contributing to growth of gross domestic product and employment. Technological change in this field has been very rapid, with many new products being introduced. For this reason in part, health care budgets throughout the world have increased dramatically, eliciting growing pressures for cost containment. This book explores four important issues in pharmaceutical innovations: (1) the industry structure of pharmaceutical innovation; (2) incentives for correcting market failures in allocating resources for research and development; (3) competition and marketing; and (4) public evaluation of the benefits and costs of innovation. The lessons are applicable to countries all over the world, at all levels of economic development. By discussing existing evidence this book proposes incentive arrangements to accomplish social objectives.

Solutions to odd-numbered exercises in the second edition of Health Economics. Solutions to odd-numbered exercises in the second edition of Health Economics.