Health Care financing has been a big issue in the Unites States since the 1960’s and today it is even more of a serious issue, with the millions without insurance and health care costs on the rise the United States health care industry is in trouble. Economic hard times have affected Medicare and Medicaid and it has resulted in many cuts. Private insurance companies have raised rates and employers have had to pass the cost onto employees by raising premiums. Health care is on the rise mainly because more and more people are getting older and are needing more and more medical procedures and physician visits. Technological advances are also a cause for rising health care. Many things affect health care and that is why it is so expensive. All of these issues will be addressed in this paper.
Statement of Topic
Health Care financing is a big issue in the United States since the 1960’s and even now. Millions of American’s are without health insurance and health care costs are on the rise due to technology and the millions of people who are uninsured. In this paper a brief view of why costs are on the rise and the effect that it will have on the American public in the years to come.
Rational of Topic
Health care financing is a big issue for the millions of Americans without insurance and with the new Health Care Reform Bill being front and center; many people are focusing on why it is so important for American’s to have insurance. The reason this topic was chosen was to give some insight on why health care costs have risen since the 1960’s. The citations used in this paper help to clarify the different points addressed in this paper. They were chosen to explain the issues with health care spending and to show why they are on the rise and why it is so important that this country needs universal health care coverage without them it would have been hard to fully explain the reason for why health care expenditures are so high and what we can do about it as American citizens. Literature Review of Topic
Health care is an important issue to every human being because at some point in our lives we have to use it whether it be to visit a doctor, have a hospital stay, buy prescription drugs or have a procedure done we all need health insurance. Many American’s cannot afford insurance or have lost their jobs and along with that their insurance. Facing the health care crisis in this country is front and center. The main purpose in this paper is to show you that health care costs are on the rise and that every American needs to be covered and how we as a society can help to lower the costs of health care. It is estimated that two-trillion dollars is spent on health care in the United States; that is more than any other country in the world, according to the Organization for Economic Cooperation and Development (OECD). “The United States spends two-and-a half times more than the OECD average, and yet it ranks with Turkey and Mexico as the only OECD countries without universal health care coverage.” ( Johnson, 2010). “In 2009 health care spending reached an all-time high by spending 17 percent of its gross domestic product and the nonpartisan Congressional Budget Office (CBO) estimates that number will raise to 25 percent by 2025 without changes to federal law.” ( Johnson, 2010. P. 1). With the incline of healthcare costs rising many employers have had to stop offering their employees’ health insurance coverage. “According to a November 2008 Kaiser Foundation report access to employer-sponsored health plans is on the decline among low income workers, and health premiums for workers has increased to 114 percent in the last decade.” ( Johnson 2010. P. 1). Employers health care costs has risen 7.3 percent in 2009 compared with 4.8 percent in overall U.S. health spending that year according to a March 2010 report by Thomson Reuters, a business intelligence service. (Cited Johnson,...