Module code: MANM056

Module provider

Surrey Business School

Module Leader


Number of Credits


ECT Credits



FHEQ Level 7

JACs code


Module cap (Maximum number of students)


Module Availability

Semester 1

Overall student workload

Independent Study Hours: 115

Lecture Hours: 33

Assessment pattern

Assessment type Unit of assessment Weighting
Coursework ASSIGNMENT 1 3500 WORDS 100%

Alternative Assessment

Not applicable

Prerequisites / Co-requisites


Module overview

This module is designed to give a comprehensive overview of health economics to students. Economics is the study of how society makes choices about what output is to be produced, by what means and for whom: in other words, it is the study of how society allocates its scarce resources among competing alternatives. This notion of scarcity is as relevant in the health sector as it is elsewhere since, whatever the level of expenditure on health care, there will always be unmet demand. Moreover, it is important that those resources used in the health sector are applied in the best ways possible. As a result, economic terms such as cost containment and cost effectiveness, competition and health market, health outcomes and prioritising services, are increasingly becoming the language of health service managers and others. The module will explore the meaning of these and other terms. It will examine the economists' "toolkit", the way in which it can be used in the process of policy development, and its limitations.

Module aims

To ensure that students have a comprehensive grounding in health economics and are able to use its tools and techniques to improve their understanding, analysis and decision making techniques in health care settings.

Learning outcomes

Attributes Developed
Understand the nature of supply of and demand for health care. C
Discuss how markets work in theory and how the assumptions of a perfect market are often violated in health care. K
Critically assess the role of the Government when markets fail. C
Explain how health insurance markets operate K
Compare the different methods of financing health care. C
Define different types of economic evaluation and identify the situations in which they can be used to inform resource-allocation decisions. K
List the key elements of a well-conducted economic evaluation. K
Apply the key tools of microeconomics to health care management issues. C
Read reports of applied microeconomic studies and to appreciate their implications for health policy and management. PT

Attributes Developed

C - Cognitive/analytical

K - Subject knowledge

T - Transferable skills

P - Professional/Practical skills

Module content

The indicative content includes an introduction to health economics followed by:

Demand for Health Care

Production and Supply of Health Care

Markets, Market Failure and Government Intervention

Uncertainty and Health Insurance

Principles of Economic Evaluation

Measuring and Valuing Health Care Output

Economic Evaluation Methods

Economic Evaluation in Decision Making

Methods of Teaching / Learning

The learning and teaching strategy is designed to:

Engage students in active learning that delivers subject knowledge, fosters critical thinking and enables them to achieve and demonstrate the key learning outcomes listed above.

The learning and teaching methods include:

Weekly 2-hour lectures to explain the key concepts and techniques as covered in the module textbook

Weekly 1 hour tutorials which provide the opportunity for students to receive formative feedback on their independent study, and to provide the opportunity for students to apply their knowledge and test their learning in a non-assessment environment

Independent study which includes textbook readings, selected journal readings, computer based exercises and tutorial preparation. This study allows students the space to reflect on the lectures and tutorials and to develop a more detailed understanding of the material.

Specifically, the module will be delivered through:

11 x 2 hour lectures

11 x 1 hour seminars/tutorials

117 hours independent study which includes performing the required weekly textbook readings, preparing answers for tutorial questions (in advance of the tutorials), working through additional online resources (via Surrey Learn) and a small number of self-directed computer exercises.

Assessment Strategy

The assessment strategy is designed to provide students with the opportunity to demonstrate

The actual assessment questions are designed to allow students the opportunity to demonstrate achievement of 7/9 of the learning outcomes for this module. The assessment method (coursework) allows students the opportunity to reflect critically on their learning and the materials, and to prepare considered and detailed answers to the questions. In particular it requires students to work within a format that fits best with what they have or will encounter in their professional careers.

Thus, the summative assessment for this module consists of:

1 x 3,500 word essay answering a two-part question of equal weight.

The assessment will be submitted one week after the last lecture and the assignment is available from the first week of the semester. The deadline is coordinated with the other module convenors to ensure that students have enough time to complete their assignments, yet scheduled to avoid students missing lectures to complete assessments for other modules.

Formative assessment and feedback

Students will receive verbal, formative feedback during weekly tutorials and written, formative feedback on any of the optional written tutorial answers that are submitted.

Reading list


Please note that the information detailed within this record is accurate at the time of publishing and may be subject to change. This record contains information for the most up to date version of the programme / module for the 2017/8 academic year.