Question

What forces have had an effect on increasing health cost over the past 30 years?

Answer 1

Answer- Forces have had an effect on increasing health cost over the last 30 years:

• Determinants of health- Public health research focus on a range of personal, social, economic, and environmental factors outside what is typically seen as the health system. These are seen as critical factors that influence health status, the demand of health care and health costs, as well as a broader set of economic consequences of excess morbidity and shorter lifespans, such as the impact on productivity.

• Chronic diseases- The second major cause behind rising health care costs is chronic diseases. Five chronic conditions are the important determinants of the increase in Medicare spending, accounting for a one third increase since 1990. These conditions include mental disorders, hypertension, kidney disease, arthritis, and diabetes. The obesity epidemic is also a major contributor to cost growth in health care spending

• Aging- An aging population will significant impact the federal budget. The total health cost of an individual doesn't suddenly rise once the person turn 65. The aging population will be responsible for increase is spending on some big federal health programs.

• Lack of coordination- Most insurers pay hospitals, doctors and other medical care providers under a fee for service system that compensates for each test, visit or procedure. But this encourage overtreatment, which include repetitive test. This system has failed to provide any incentive to improve co-ordination and has both driven up costs and deteriorated the level of care delivered.

• Unhealthy consumer behaviour- Consumers are constantly engaged in unhealthy behaviour like poor diets and lifestyle. This includes using drugs and alcohol, smoking.

• consolidation- While mergers and acquisitions among insurers and medical providers can improve efficiency and assist to drive down prices, consultation can have the opposite effect.

• Summing up- The drivers of health care costs growth are multifaceted and complex, with no single drivers being responsible for the nation rising health care costs.