This article presents an approach to public policy in health that comes directly from the literature on public economics. It identifies two characteristic market failures in health. The first is the existence of large externalities in the control of many infectious diseases that are mostly...

There is an apparent consensus that the correct health policy in developing countries is public provision of a mix of preventive and simple curative services through low level health workers and facilities. But the strength of this consensus on the primary health care paradigm is in sharp...