The Multi Vs Single Payer System

1316 Words Apr 6th, 2015 6 Pages
Health Care in America: Multi Versus Single-Payer System Health care costs in America have reached an all-time high of 16% of gross domestic product, making the U.S. the single biggest spender on health care in the world. As health care in America is assessed and analyzed there is continued debate on the inefficiencies, and fragmentation, and high costs in medications, program administration, and medical innovation. This has led to discussion, theories, and studies of single-payer health coverage, and how the U.S could adapt a single-payer system. While no one has purposed a concrete system, theories exist that a single-payer system can create savings in total health care cost. In this paper two articles are reviewed that speak to cost reduction with a single-payer system. The Health Care Crisis and What to do About It by Krugman & Wells (2006), and Health Care Special Issue: Creative Destruction by Cohn (2007).
Health Spending in America According to Krugman & Wells (2006), health care in the U.S. in 2004 represented 16 percent of the gross domestic product. Making the U.S. the leader in health spending in the world. Rice et al. (2014), shows that number up 1 percent to 17 percent in 2012, which is more than the whole GDP for Northern Ireland and Great Britain. Krugman & Wells outlined different reasons in their essay contributing to the large costs. The relatively high costs associated with the administration of private insurance attributes to the cost of…
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