Abstract:                                  

                                Health is a multi-dimensional phenomenon. It is both an end and means of development strategy. The relationship between health and development is mutually reinforcing: while health contributes to economic development, economic development, in turn, tends to improve the health status of the population in a country. Health is also an important entitlement that enhances “capabilities” of the poor people leading to increase in “commodities” and further improvement in health status. As investment on health increases, the productive capacity and the level of income tends to rise and to that extent, it contributes to a decline in the incidence of poverty. With rapid improvement in health, particularly of the poor, “vicious circle” of poverty can be converted into “virtuous circle” of prosperity. Acknowledging this significance, Economics of  Health is assigned as a special branch of study.