Final answer:
The main outcome of the Grossman health production model is that individuals make decisions about their health based on the benefits and costs associated with health-related activities. People with higher incomes are more likely to be compliant with prescription medications because the opportunity cost of being sick is higher for them.
Step-by-step explanation:
The main outcome of the Grossman health production model is the idea that individuals and societies invest in health in much the same way that they invest in other forms of human capital, like education or training. According to the model, individuals make decisions about their health based on the benefits and costs associated with health-related activities.
When it comes to medication compliance, the Grossman model suggests that people with higher incomes are more likely to be compliant because they have a higher opportunity cost for being sick. In other words, being sick and not taking medication would have a greater impact on their ability to work and earn income compared to someone with a lower income.
This can be illustrated through an example. Let's say two individuals, one with a higher income and another with a lower income, are both prescribed a medication that costs $100 per month. For the person with a higher income, the opportunity cost of not taking the medication may be missing out on $500 worth of work. On the other hand, the person with a lower income may only miss out on $100 worth of work. Therefore, the higher-income individual has a greater incentive to be compliant with the medication regimen.