Question

What are some of the common explanations for America’s rising health care costs?

Answer 1

There are different common explanations for rising health care cost in the USA. The first common explanation is the huge cost of research & development that is incorporated back into the health care services. As a result, cost of health care increases in the USA. The second common explanation is the consideration of the development cost of health care infrastructure, into the pricing of health care services being delivered to the people. It increases the cost of health care services. The third explanation is the larger proportion of the population is now aging as baby boomer generation is entering into the advance age. These people require longer treatment of their health care and it transmits into the higher cost of health care. The next common explanation is the market driven economy that has a less regulated pricing structure of health care in the name of protection of private property rights. It encourages the firms to put, the higher cost of health care. Besides, the focus upon the selection of costlier health care treatment plans by the health care service providers, also cause the rise in cost of health care.