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EUR/RC62/wd08 (Eng) - WHO/Europe - World Health Organization

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<strong>EUR</strong>/<strong>RC62</strong>/8<br />

page 20<br />

and effectively to translate genome-based knowledge and technologies into public health: this is<br />

a major task of public health genomics and an important area of potential innovation in <strong>Europe</strong>.<br />

<strong>Health</strong> policies should prepare to meet this future vision of medicine and health. This means<br />

that, instead of solely focusing on the biological determinants of health or emphasizing mainly<br />

social determinants, health will need to be approached through the perspective of all its<br />

determinants, including biological, lifestyle, environmental and social factors and the<br />

interactions between them. In the future, public health genomics will probably provide the<br />

vision and tools to integrate genome-based information (as a part of the biological determinants<br />

of health) into health care systems and policies.<br />

92. Such technologically based innovations have already created new opportunities to<br />

improve health and health care. These changes substantially affect aggregate health care costs,<br />

especially when numerous organizational and professional factors support their use. This is<br />

illustrated by the dramatic increases in health care costs in the last years of life. To the extent<br />

that technology enables newer or better treatments, greater spending may involve increasing the<br />

level of health care purchased rather than unnecessary or wasted cost. Some technologies, such<br />

as the self-measurement of blood glucose, may have an upfront cost but reduce expenses related<br />

to complications further down the road.<br />

93. Whether a particular new technology will increase or decrease health expenditure<br />

depends on several factors. How does it affect the cost of treating an individual person? How<br />

many times is the new technology used? On what basis can its use be rationed? Does the new<br />

technology extend existing treatments to new conditions? Does the technology cost more<br />

immediately but lead to later savings? New technologies may extend life expectancy, affecting<br />

both the type and amount of health care that people use in their lifetime. The real balance of<br />

costs and savings can often only be evaluated by long-term epidemiological and health<br />

economic studies.<br />

The macroeconomics of health and well-being<br />

<strong>Health</strong> – a key factor in productivity, economic development and growth<br />

94. <strong>Health</strong> 2020 addresses the economic and funding aspects of health and health systems.<br />

Social progress and stability have been achieved most successfully in countries that ensure the<br />

availability of services promoting good health and education, and of effective social safety nets,<br />

through strong public services and sustainable public finances. Failure to achieve these goals<br />

can be reflected in a decline in societies’ social capital of civic institutions and social networks.<br />

95. <strong>Health</strong> is increasingly acknowledged as significantly affecting both the economic<br />

dimensions of a society and its social cohesion. The macroeconomics of health and well-being<br />

therefore need to be better understood. In the past 30 years, the health sector has shifted from<br />

being a functional sector focused on, and investing mainly in, health care services to<br />

constituting a major economic force in its own right. Today health is one of the world’s largest<br />

and most rapidly growing industries, associated with more than 10% of the gross domestic<br />

product of most high-income countries and about 10% of their workforce. It encompasses a<br />

wide range of business sectors, services, manufacturers and suppliers, ranging from the local to<br />

the global. During the recent economic recession, the continual growth of the health care<br />

industry was a stabilizing factor in many countries. Nevertheless, its output and output<br />

efficiency clearly deserve to be maximized.<br />

96. In some countries, increases in health care costs are difficult to manage and can put<br />

countries and industries at a competitive disadvantage. <strong>Health</strong> funding has therefore moved to<br />

the fore of the health debate, exploring new ways of raising revenue for health and moving<br />

away from exclusive reliance on labour-related direct taxes. These are especially relevant in

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