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Medical Tourism or ‘Medical Examination and Treatment Abroad': An Economic Study of the Phenomenon
Abstract
Medical care has traditionally been supported within a framework of public welfare within national borders. However, it has recently expanded beyond this, reflecting the globalization of medicine and the private health care insurance business. Medical tourism is not an appropriate description, because those who travel are mostly patients, not tourists looking for leisure. Medical tourism is more properly termed ‘travel for medical examination and treatment abroad', or ‘international patient business', from a supply-side economics point of view. This chapter considers the emerging international medical tourism niche market from the economic angle. First, it reviews the nature of transnational treatment based on the quality and costs of services. Second, the regulatory framework is examined. Private healthcare services are often considered as a competitive market. However, how to monitor and assure the quality/safety of private healthcare abroad is a crucial issue, as much as price and delivery of services.
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