Health Care Spending Analysis

Health care is one of the major political issues facing the nation today. Most industrialized countries have national healthcare system, while the United States only provide coverage for those who are eligible under government programs like Medicare and Medicaid. As the cost of health care to continue to increase,

Topic: U.S. HEALTHCARE SYSTEM REFORM Course Project T. Wise DeVry HSM 534 Health Service Finance February 23, 2013 Week 7 Professor Alison Williams Background The United States, being the most diverse society in the world, has a long and unsuccessful history of attempts at healthcare reform. We spend almost $2 trillion dollars per year on healthcare, yet not all American people have medical coverage (Barton, 2007). A huge percent of the population have to rely on outside sources, such as benefit health care from an employer or from government programs, such as Medicare and Medicaid. As compared to other nations, our society has people that are more overweight, live under more stress, and are less in physical

First of all, a study has shown that Americans have a lower life expectancy rate than those living in countries that have universal health care, even though the United States pay more for health care (Mahon, Weymouth, “U.S. Spends Far”). According to a study by the Commonwealth Fund, in 2009, the U.S. spent about 8,000 dollars per capita on health care (Mahon, Weymouth, “U.S. Spends Far”). Other countries, like Japan and New Zealand, spent one-third as much, or like Norway and Switzerland, spent two-thirds as much. A separate study by Global Research has shown that in 2007, among seventeen countries examined, U.S. ranked dead last in life expectancy for males (seventy-five years) and second to last for females (eighty years) (Randall, “U.S. Life Expectancy”). The same study shows that women in Japan, a

Healthcare Reform Overview According to the Garber & Skinner (2008), the United States spends more on health care than other nations but continues to score below other nations in numerous areas of measurement. These scores in, consideration with amount spent, suggest that healthcare is the United States is inefficient. Additionally, the United States has a significantly large portion of under

Healthcare spending growth rate trends show astounding estimates. Since 1960, spending has risen from $27 billion ($143 per capita, 5.1% pf GDP) to amazing $1,678.9 billion ($5,670 per capita, 15.3% of GDP, 2003 data) (HHS, 2005). Recent research estimated that by 2013, healthcare spending will be as high as 18.4% of the Growth Domestic Product. It is important to note that the gradual move from hospital to ambulatory setting has resulted in much higher spending on outpatient hospital services and prescription drugs. The spending growth for these two trends is much higher than the overall healthcare cost growth, which, in fact, increases faster than such important economic indicators as GDP growth, inflation growth, and population growth rates.

However, there is numerous comparison results already have been made so far suggests that United States health expenditure may not be the most efficient spending in the world. In contrast, statistics continuously disclose that we are on the lower group among the developed countries in terms of efficiency. According to the World Health Organization, United States have

Introduction America faces a choice, keep the health care coverage it has, also known as the Affordable Care Act (ACA), or scrap it and come up with something better. While the ACA in its entirety leaves room for improvement could do better, much better. Currently the United States spends more on

Health Care Spending Paper C Murphy HCS 440 December 19, 2011 Health Care Spending Paper Today, health care issues within the United States are still a major concern in regards to where people of our communities do not always agree with what is being done and what is not being done. The three major issues with health care spending is how much is it going to cost and where is the money going to come from? The amount of per-patient costs have doubled more in the United States than other nations around us. The last issue is the amount of Americans that has no health care at all. This paper will discuss the healthcare expenditures that is necessary for our entire population.

The Federal Health Care Push: How Congress can Increase Insurance Affordability, Improve Individual Access & Reduce Wasteful Spending. According to the Centers for Medicare and Medicaid Services (CMS), health care spending in the United States has grown at a rate of 3.7 percent since 2012 to $2.8 trillion, costing the U.S. 17.9 percent of total its GDP and ranking it number one spending on health care (Martin et al 67; world bank). Despite having the most expensive healthcare per capita, according to The Commonwealth Fund - a private American foundation dedicated to the promotion of a high performance healthcare system - the U.S. ranks at the bottom of the top ten wealthiest nations in terms of “access, efficiency, and equity” (Davis

Instead, the findings suggest the higher spending is more likely due to higher prices and perhaps more readily accessible technology and greater obesity. Health care quality in the U.S. varies and is not notably superior to the far less expensive systems in the other study countries [Abstract].

The fact is that the U.S. spends more money on health care than any other country in the world, even when adjusting for relative wealth, according to a 2008 study by Mkcinsey Global Institute (MGI). In 2012 that number was about 2.6 trillion dollars or 18.6% of their gross domestic product (GDP) (13), in other words the U.S. spent about 8,915 dollars per person on health care, or more than twice what they spent on food and more than China spent on all goods and services combined (See Figure 1, MG1 2008). The amount spent on health care is expected to continue to rise , though that rise has slowed in the last three years, estimates suggest it could reach nearly 4.8 trillion dollars by 2021; which would be roughly one fifth of the U.S. GDP (15)

It is no secret that the US healthcare has many issues in its system. Especially, when you compare it to other countries like: Great Britain, Japan, France, Canada etc. According to Sultz and Young states that “The United States ranks eighth behind all of these nations in life expectancy at

has the world’s most expensive healthcare system, yet one-sixth of Americans are uninsured. Approximately one-third (31%) of adults and a little more than one-half (54%) of children do not have a primary care doctor. Federal spending on healthcare in 2005 alone totaled $600 billion, a massive one-quarter of the federal budget. Someone files for bankruptcy every 30 seconds in the U.S of health concerns. And every 1.5 million families lose their homes to foreclosure due to unaffordable medical costs. The U.S. spends six times more per capita on the administration of the health insurance system than Western European nations, who insure all citizens.“ www.realtruth.org/articles/090203-005-health.html. “In United States, the annual cost of health care per capita is $5,711. http://www.visualeconomics.com/healthcare-costs-around-the-world_2010-03-01/#ixzz12f0I1lbk

The U.S. spends more on health care than the next 10 biggest spenders combined: Japan, Germany, France, China, the U.K., Italy, Canada, Brazil, Spain and Australia. 10 of the 20 occupations

Funding sources The majority of funding for medical technology and advancements comes from government programs such as Medicare, Medicaid, and private insurance companies. The National Health Expenditure, within the last fifty years has leapt from $147 per capita in 1960 to $8, 953 in 2012. The portion of the GDP that