Question

We have extensively discussed health care as the epicenter of the policy debate of the optimal provision of public goods. In this context, compare the U.S. health care system to European systems.
a.   What are the problems with the U.S. health care system?
b.   Discuss the components of health care coverage in the U.S. What portion of the population is uninsured?
c.   Evaluate three alternatives for the U.S.
i.   Complete privatization (radical free market plan…i.e. Ron Paul on steroids)
ii.   Compare to Germany healthcare system
iii.   Status quo
Discuss the strengths and weaknesses of each system. Which system would you prefer and why?

Answer 1

Health care is defined as the prevention and treatment of diseases through medical professional services. Access to comprehensive, quality health care services is important for maintaining and promoting health, preventing and managing diseases, reducing premature deaths, and achieving health equality for each American. The U.S health care system is not a universally acceptable system it is a publicly and privately funded patchwork of fragmented systems and programs. Insured Americans are covered by both public and private health insurance, with a majority covered by private insurance plans through their employees. Health care in Europe is provided through a wide range of different systems run at individual national levels. Most European countries have a system of tightly regulated, competing private health insurance companies, with government subsidies available for citizens who cannot afford coverage.

The US health care system relies on a direct fee system and private health insurance. This model has been criticized for contributing to high health care costs, high rates of uninsured individuals, and high rates of health problems in the country. Other problems in the U.S health care include the restrictive practices associated with managed care, racial\ethinc, and gender bias in health care delivery, hospital errors, and medical frauds.

The health care system has incorporated 4 components, they are financing, insurance, delivery, and payment, or the quad-function model. The health care delivery system differs depending on the arrangement of these components.  The four major components in the U.S health care delivery system are payers, providers, regulators, and suppliers. In 2018, 27.9 million people were uninsured in the U.S.

Complete privatization is not an answer or alternative for the U.S health care system as it can make things much worse than it already is. Private health care will be as bad for the wealthy as for the poor, as long as the public system provides good health care. Germany has one of the best health care systems in the world, as it is really effective. They spend less on per capita than the U.S but covers 100% of the population, hence the German model of the healthcare system is a good example for the U.S to follow. The current conditions or status quo of the U.S health care are quite unacceptable as many people are uninsured and not getting the right services. Hence the U.S should try to deviate from its status quo and bring about new changes in its health care system.