In Today’s paper, I will explain my position on National Health Care spending in the United States. My paper will include the level of current national health care expenditures. Whether or not the spending is too much or not enough. Whether the nation should add or cut, and why.
How the public’s health care needs are paid and financed. I will also indicate the percent of total expenditures they represent. Provide a forecast for future economic needs of the health care system. Forecast why needs must be addressed. I will discuss the envisions that are needed for finances. The Level of National Health Care Expenditure
Health expenditures in the United States were around $2.6 trillion in 2010.This was over ten times the $256 billion spent in 1980. (Expenditures Data, January 2012.) The rate of growth in recent years has slowed down in the late 1990s and early 2000s. The forecast predicts it will grow faster than national income for future. (Health care spending, 2008). This growing burden continues to be a major policy priority. The United States has been in a recession for much of the past decade, resulting in higher unemployment and lower incomes for many Americans.
These conditions have put even more attention on health spending and affordability’s. (Expenditures Data, January 2012.) In the year of 2001, employer-sponsored health coverage for family premiums have increased by 113%, placing increasing cost burdens on employers and workers. (Annual Survey, September 2011.) In the public sector, Medicare covers the elderly and people with disabilities, and Medicaid provides coverage to low-income families. Enrollment has grown in Medicare with the aging of the baby boomers and in Medicaid due to the recession. (Expenditures Data, January 2012.)
This means that total government spending has increased considerably, straining federal and state budgets. In total, health spending accounted for 17.9% of the nation’s Gross Domestic Product (GDP) in 2010. (Growth spending, 2009) Spending too much or not enough Hospital care and physician/clinical services combined account for half (51%) of the nation’s health expenditures. (National Health Expenditures, 2010)
There is a huge agreement that the rise costs needs controlling, there is disagreement over factors. Some of the major factors discussed in cost growth are: New medical technologies are a primary contributor to the increase in overall health spending; however, in recent years, the rate of spending on prescription drugs has decreased. (Expenditures Data, January 2012.) Analysts state that the availability of more expensive, state-of-the-art medical technologies and drugs fuels health care spending.
The development costs generates, demand for more intense, costly services even if they are not necessarily cost-effective. (Congress of the United States, January 2006) Rise in chronic diseases – Longer life spans and greater prevalence of chronic illnesses has placed tremendous demands on the health care system.
It is estimated that health care costs for chronic disease treatment account for over 75% of national health expenditures. Centers for Disease Control and Prevention., April 2011) There has been tremendous focus on the rise in rates of overweight and obesity and their contribution to chronic illnesses and health care spending. The changing nature of illness has sparked a renewed interest in the possible role for prevention to help control costs.
Should the nation add or cut, and why?
I think the nation should add in the areas of need. Which is for elderly people. Why should people who have worked all their lives to survive have to worry once they are old and cannot work anymore? We are not a poor nation the government just places tax payers money in the wrong places. It is not fair for people who are unable to work suffer in the older years. Forecast for Economic Needs
Greater government oversight and regulation of health insurer premiums and practices Increasing competition and price transparency in the sale of insurance policies through Health Insurance Exchanges Payment reforms that aim to reduce payments for treatments and hospitalizations resulting from
errors or poor quality of care Refocusing medical delivery systems to be patient-centered and improve the coordination and quality of care . Example- medical homes( HHS, 2011)
Other proposals and practices directed at controlling costs exist, such as support for wider use of health IT in the delivery system, increasing consumer out of pocket costs, improving health efficiency and quality of care, reforming the tax treatment of health insurance, and a single payer plan. As the nation struggles with a faltering economy, health care costs will continue to be at the forefront of policy debates.
Centers for Medicare and Medicaid Services, National Health Statistics Group, National Health Care Expenditures Data, January ( 2012).
Kaiser Family Foundation and Health Research and Educational Trust. Employer Health Benefits 2011 Annual Survey. September ( 2011).
Healthcare.gov. Accountable Care Organizations. HHS,( 2011). R.W. Johnson Foundation, High and rising health care costs October ( 2008).