Induced Demand: A Challenge On the Way of Iran Health Revolution Program

Abstract

By comparing indefinite demand and definite resources during the time, induced demand leads to an increase in the share of people in health costs. This may turn into a critical challenge in health system if not managed appropriately. The aim of the current study is to explain the different dimensions of influential factors in induced demand. In addition, changes in induced demand from the beginning of its implementation in the health program are studies as well. This study was carried out through semi-structured interviews with the managers of health care system in Isfahan Province, Iran, which offer health service in three levels: first, second, and third. After the implementation of seven packages of Health Revolution Program, four fundamental concepts of influential fundamental and social factors in induced demand, the organizational structure, and interested parties were studied in 2015. Our findings show that the health Revolution Program has caused an increase in induced demand through social factors (incremental demand, physician-centered system), fundamental factors (lost influence of Referral and Family Physician Programs), the organizational structure(weakness in the educational system, ignoring medicine ethics, lack of regulatory programs), and interested parties (suppliers and receivers). Induced demand increases the affordable costs index. This, in turn, influences the positive acquired results of the program and decreases effective allocation of national resources. This can be managed using such strategies as improving managers' insight about supporting induced demand control, appropriate planning in health care system, correcting the educational system in the field of health care, correcting the payment and referral systems.