Dictionary
The Dictionary provides concise definitions of health economics terms, arranged alphabetically for quick reference. Use it to understand unfamiliar terminology or confirm the meaning of a specific term.
E
- Ex Ante Moral Hazard
- A change in behaviour occurring before a loss event because of insurance coverage, such as reduced investment in preventive health behaviours.
- Ex Post Moral Hazard
- An increase in healthcare utilisation occurring after an insured event because insurance reduces the marginal price the patient faces for care.
I
- Information Economics
- The branch of economic theory examining how the distribution of information among market participants affects outcomes, including adverse selection and moral hazard.
M
- Moral Hazard
- A change in behaviour that occurs when a person is shielded from the full consequences of their actions, typically by insurance.
- Moral Hazard in Health Insurance
- The tendency for insured individuals to consume more healthcare, or take fewer precautions against illness, than if they bore the full cost themselves.
- Moral Hazard Model
- A formal economic model showing how insurance, by cutting the marginal cost a policyholder faces, alters unobservable incentives around effort, precaution, or consumption.