Economic Terms and Health Care History
Health care economics have undergone severe changes over the path of history in the United States. Some say these changes are due to evolutionary changes. Others say it’s due to development in know-how and medical care. I say it would be most helpful if the history and growth of healthcare economics were studied. One should also research the timeline of health care funding. One should also keep in mind what the basic motivating strength is in health care economics which is money. It may seem as though money should not be as important as people’s health and well being. But, when you stop and think about it, money is what keeps scientists able to continue to discover technology to aid people in receiving optimal medical care. “Who pays for what has changed dramatically in the past 60 years. Whereas in the past, the majority of individuals paid their medical bills with private funds, today insurance companies and other third parties cover the majority of payments, with individuals paying only a small fraction of the total flow of funds with private money” (Getzen & Moore, 2007, p. 3, para. 1). According to Investpedia, flow of funds is “A set of accounts that is used to follow the flow of money within various sectors of an economy.” When compared to the statement above, the initial flow of funds has altered drastically over the past years. Many of us know the history of physicians trading their services for non-money items. They would receive things such as grain, cotton, or even livestock as ways of payments for those who were not able to pay with money. As the US began to progress, with advances in technology and other historical factors (such as the Great Depression and World War I and II), a new system had to be put into place to aid the American population in purchasing medical services.