What can developing economies learn from health system reforms of developed economies? Or, is there some optimal path for health system development

It is suggested that developing countries strengthen what is probably the most fundamental initial systemic asset they have: public finance. They should do so by attracting democratically, possibly through earmarked taxes, resources otherwise channeled through the private sector, competing with public finance for limited real resources. This effort can be promoted by giving mainly urban and higher income consumers more say in the nature of care these groups have access to under auspices of public finance, through institutions performing the OMCC (Organization and Management of Consumption of Care) function. Where feasible, private insurance as a major source of finance should be seen as a transitional phenomenon, giving way to the emergence of OMCC institutions which require similar financial and managerial market infrastructure. Private and competitive provision of care may be unrealistic in many developing areas because both scarcity of real resources, mainly manpower, and health needs. The challenge of government is, as resources grow, to divest itself from the provision of care and stay involved in activities and facilities that are of 'public nature' under specific circumstances that also foster private competitive provision.