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- Some Aspects of Health Sector in an Open Economy
Some Aspects of Health Sector in an Open Economy
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Background of the Study In recent years many contemporary economists have examined the importance of the health sector as a potential engine of growth and have considered it as an important factor for the development of a developing economy. In India, the health sector has shown a growth of 9.3 % between 2000-2009, comparable to the sectoral growth of other emerging economies such as China and Brazil1. The Healthcare industry accounted for 5.1% of India's GDP in 2006. The compound annual growth rate of the Indian healthcare sector was 16% during the 1990s. (Pricewaterhouse Coopers, 2007) and is expected to grow at a compound annual growth rate (CAGR) of 15% over the next 15 years (Ernst & Young: Fostering Quality Healthcare for All, 2008). It is also expected to generate employment for more than 9 million people in the coming fifteen years. (Ernst & Young: Fostering quality healthcare for all, 2008).
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