There has been a serious controversy around American healthcare with Trump’s repeal bill having lost votes and being failed to be passed. America is in urgent need of universal, affordable health care. Studies suggest that an average American invests more in health care as compared to all other developed nations of the world. To make the picture clearer, an American spends 1 out of every 5 dollars on health care (approximately 18 percent of the total GDP).
America is currently standing at a critical crossroad. There has been a withdrawal of the Republican American Health Care Act (AHCA) and President Trump is now hinting towards collapsing the Affordable Care Act (ACA) or Obamacare. If this happens, the healthcare costs in America might witness a further increase.
U.S. Healthcare: More Complicated Than It Seems
While it’s true that the United States of America is spending a large sum of money on healthcare, one needs to delve deeper into the facts to validate their truth.
A popular reasoning behind this massive health care spending in the US is that prices are significantly high due to extreme overregulation and/or market failures. So those covered by insurance (or Medicare) receive the same protection as those living in other developed economies of the world. However, Americans without insurance die younger because they are poor and cannot afford health care services.
There seem to be certain serious errors in this popular theory. First and foremost, research suggests that even when insurance is offered to the earlier uninsured in the U.S., this doesn’t really have any major benefits. A recent government paper reported that the massive Obamacare expansion did not result in any overall health benefits.
The fact is that offering insurance to those who voluntarily opt out of insurance does not result in any significant gains.
America Spends More on Research Than Any Other Country
An American doctor who has had significant international experience says there is sufficient data to prove that nations investing a fraction of their GDP on healthcare offer excellent care.
Take the example of Australia: it invests merely 9 percent of its GDP in healthcare as compared to the 18 percent invested by America. But it delivers higher quality results for several types of cancer, stroke and heart disease. The same is true for Japan.
American should undoubtedly offer the best quality healthcare in its clinics, hospitals and rehabilitation centers. Sadly, these expenses are getting passed down from one generation to the next and Americans are stuck in discussions which never really focus on the actual value of their healthcare investment.