Introduction Economics plays an important role in the healthcare industry in the US. The relationship between different organizations and individuals involved in the production and consumption of health goods and services in the US is a complex one. The economic need of an individual in terms of healthcare is main idea behind the consumption while organizations provide the above needed services. The healthcare industry is subject to all the economic trends through production of goods and services which in this case are the drugs, equipment and the services rendered by medical professionals. Additionally, it’s also shaped by the forces of demand and supply; demand in this case denoting the willingness and capacity of consumers to pay for the healthcare products on offer. Supply on the other hand denotes the presence centers that provide medical services and the ability for the manufacturers of these products avail the products to the consumers. Besides the forces of demand and supply, there are economic variables including time, accessibility of drugs and services and user charges as applied in the industry. The discussion will focus on the above principles of economics as they apply to the healthcare industry in the US. Precisely, the discussion will focus on the supply and demand of endocrinology services in the US. There will also be a discussion on the economic relationship between the availability of these services in the US and the economic variables involved especially cost and access. Analysis Endocrinologists help in the treatment of endocrine disorders associated with diabetes conditions. Besides cancer and heart disease, diabetes is ranked as the other major disease among the American population. Demand Side The rise in the cases of diabetes, has led to a rise in demand of endocrinology services in the US. On the other hand however, the number of endocrinologists entering the market in the US has reduced considerably. The situation has therefore created a supply demand mismatch in the availability of these services. According to Stewart (2008, p. 1), private clinics, publicly run institutions, academic medical centers and the pharmaceutical industry have seen their needs for endocrinologists increase. According to him, the demand for endocrinology services is going to rise further considering the fact that over 44 million people in the US need their services. Additionally, over 50% of the US population being obese means that endocrinologists will be needed more in the coming years. Supply Side The above demand is against a supply of slightly above 5000 endocrinologists available in the US according to a 2006 survey. Over 1500 of these are not primary care providers, leaving an average of 4000 endocrinologists in active practice. The above scenario clearly shows demand outstripping supply. According to Mercer (2009, p. 1), the demand for endocrinology services is likely to rise further as many of the professionals reach retirement age in this decade. The above demand – supply mismatch has had its consequences felt by the consumers of these services in the US. Economic Variables Basic economics dictate that the most likely effect when demand outstrips supply is the rise in price of goods and services. Sometimes, it