Expenditures for health services continue to grow faster than the Consumer Price Index and Inflation Rate....

Expenditures for health services continue to grow faster than the Consumer Price Index and Inflation Rate. Discuss the reason for this growth noting the factors that are contributing to the rise

Expert Solution

Expenditures for health services continue to grow faster than the Consumer Price Index and Inflation Rate. Discuss the reason for this growth noting the factors that are contributing to the rise

The reasons are-

Government Policy

?Congress enacted the Employee Retirement Income Security Act of 1974
This act exempted corporations from state regulations and taxes if they self-insured
Companies took advantage of these lower-cost and flexible plans

2. Chronic Diseases

This cause of rising health care costs is an epidemic of preventable diseases
The four leading causes of death are heart disease, cancer, chronic obstructive pulmonary disorder, and stroke
These diseases cost an extra $7,900 each, five times more than a healthy person

2. Administrative costs

duties that support medicine, including record keeping, billing etc.
These costs are charged in order to maintain the health care services

keosha answered 1 year ago

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