Medical Tourism in Developing Countries

66 ● Medical Tourism in Developing Countriesthrough a variety of efforts discussed below. The private sector pursues itsprofit interests by attracting foreign patients. Neither sector alone canachieve their goals without the participation of the other. This necessarycooperation is analyzed with an eye on the best way to ensure that medicaltourism takes off. The private and public sectors in developing countriesare then placed into the global context, as they both function within aframework set by international organizations, and they both tap foreign—physical and human—resources that are governed by international laws andregulations. Finally, the nature and rationale of medical tourism’s tie-ins tothe tourist industry are described.The Public SectorThe role of the state in medical tourism must be viewed against the broaderrole of the state in economic development, in health care, and intourism.With respect to the former, Meier and Rauch have divided the literatureon the role of the public sector in economic development into three categories.1 The most optimistic view says that the state is a benevolent leader indevelopment, a force that maximizes social welfare. The pessimistic viewstates that the government is an obstacle to development because it representsthe interests of a narrow group and acts against the majority. A thirdview says that there is a wide possible range of relationships between thestate and development, and each case must be assessed as to whether thestate can formulate and implement policy without corruption. It is thismiddle road that many scholars have supported, and in so doing, they havefound that there is indeed a role for the state in economic development.This role has waxed and waned over time, being high in the aftermath ofWorld War II (or LDC independence), dropping somewhat in the marketoriented 1980s, and rising once again in the twenty-first century. As PeterCalvert noted, the role of the state was under attack during the 1980s and1990s when the Washington Consensus orthodoxy reigned, according towhich the role of the government should be kept to a minimum. 2 Due tofrequent market failures, the state is being brought back in. 3This re-emergence of government has been highlighted by scholars.Sinclair and Stabler noted that, “in contrast to traditional neoclassical theory,new growth theory provides a possible role for government.” 4 Mittelman andPasha also identified the role of the state, especially with respect to capitalaccumulation in the less developed countries. 5 Similar views have beenvoiced outside scholarly circles, from international organizations and policymakers. According to the UNWTO, “It is widely recognized that the market