This module is designed to provide an introduction to the various key concepts within health economics, specifically with respect to health care systems and to individual behaviour within such systems. The module is split into two parts. Part one covers the principles and theories of health economics. Part two covers economic evaluation. The specific objectives of the module are: to provide information on the relevant economic theories that are applicable to health economics, to demonstrate how economic analysis can inform decisions on health policy, to analyse alternative systems of health care delivery and to explore practical issues involved when conducting an economic evaluation. Topics covered include: demand for health and health care, health care systems, cost-benefit analysis QALYs and rationing.