Hcs 440 Economics: the Financing of Healthcare
The purpose of this paper is to review and discuss the current level of national healthcare expenditures and to determine if we as Americans are spending too much on healthcare. The author of this paper will provide examples and solutions where we as a nation should add or cut from the healthcare expenditures. This paper will also detail how the general public's healthcare needs are being paid for, the biggest economic healthcare challenge, why the challenge should be addressed, and how this challenge to be financed.
The current level of national healthcare expenditures The National health expenditures is defined as any funds spent on and for healthcare services. Healthcare funding consists of individual, public, and private sectors as well as funding for research and the construction of healthcare facilities (Delaware Health, n.d). Currently the national healthcare expenditure is at an all time high. In 2011 the national health expenditure was estimated to be around $2.8 trillion dollars (Heffler, Smith, Won, Clemens, Keehan and Zezza).
According to a report released by CMS the national health expenditure is expected to increase on average of 6.1% from the year 2009 to 2019 (CMS, 2011). During this same projection period spending on Medicare is expected to raise an average of 6.9%, and Medicaid 7.9% per year. In 2009 spending on hospital related services in the United States were estimated at $761 billion dollars and will average an increase of 6.1% over the next decade (CMS, 2011). Spending on physician cost and clinical services will grow by 5.4% while prescription drug cost will grow 6.3% during the projected period (CMS, 2011).
Is spending too much or not enough?
Healthcare spending in the United States is at a record high and continuing to grow. National healthcare spending in the U.S. is rising faster than inflation and national income rates. National healthcare spending climbed higher than $2.3 trillion dollars
The current level of national healthcare expenditures The National health expenditures is defined as any funds spent on and for healthcare services. Healthcare funding consists of individual, public, and private sectors as well as funding for research and the construction of healthcare facilities (Delaware Health, n.d). Currently the national healthcare expenditure is at an all time high. In 2011 the national health expenditure was estimated to be around $2.8 trillion dollars (Heffler, Smith, Won, Clemens, Keehan and Zezza).
According to a report released by CMS the national health expenditure is expected to increase on average of 6.1% from the year 2009 to 2019 (CMS, 2011). During this same projection period spending on Medicare is expected to raise an average of 6.9%, and Medicaid 7.9% per year. In 2009 spending on hospital related services in the United States were estimated at $761 billion dollars and will average an increase of 6.1% over the next decade (CMS, 2011). Spending on physician cost and clinical services will grow by 5.4% while prescription drug cost will grow 6.3% during the projected period (CMS, 2011).
Is spending too much or not enough?
Healthcare spending in the United States is at a record high and continuing to grow. National healthcare spending in the U.S. is rising faster than inflation and national income rates. National healthcare spending climbed higher than $2.3 trillion dollars
References: PBS. (2011). Nightly Business Report. Transcripts: Social security and medicare funds are running low. Retrieved from http://www.pbs.org/nbr/site/onair/transcripts/social_security_and_medicare_110513/ United Health Group (2009). Health Care Cost Containment-How technology can cut red tape and simplify health care administration. United Health Center for Health Reform and Modernization. Retrieved from http://www.unitedhealthgroup.com/hrm/UNH_WorkingPaper2.pdf U.S. Department of Health and Human Services. (2011). CMS. Centers for Medicare & Medicaid Services. NHE fact sheet. Retrieved from https://www.cms.gov/NationalHealthExpendData/25_NHE_Fact_sheet.asp