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Saturday, March 4, 2017

United States Health Issues 2017


In the United States, the majority of health services managed by private parties, one example is the issue of insurance. Almost all insurance companies in the US are in private hands so that the role of government in addressing the problem of insurance is limited.

The US federal government can only regulate the insurance problems that are less economical for the business value such as Medicare, Medicaid, TRICARE, Children's Health Insurance Program, and the Veterans Health Administration. These five types are handled government administration in the absence of private companies that are interested in that type of insurance. From an economic perspective, the fifth such insurance has a very big risk, but the benefits are very small.


The weakness of the US government's ability to regulate insurance issues made a lot of American people who are suffering. During these private insurance companies always target the middle and upper class people because they are more profitable than middle-class people. As a result, many middle-class people who are not touched by the health insurance program.

The US Census Bureau notes that in 2009 there are 50.7 million people, or about 16.7% of US society that is untouched by the insurance program. Most of them are middle-class people who are not noticed by the insurance company because they are less profitable companies. The high cost of healthcare in the US plus there is no guarantee against the public health of middle to make the majority of Americans prefer to seek treatment abroad that cost less and have a quality that is not much different from the US.


This condition is of course detrimental to the US Treasury, as money and health revenue that should be entered into the United States actually went into another country. In total, the losses suffered by the United States due to the many people who seek treatment abroad, is very large. Many potential state revenue is ultimately wasted.

US citizens belonging to the community are very concerned about health issues. Their costs for health is very high, almost equivalent to the cost of daily consumption. US citizens will be health awareness is very high. Unfortunately, awareness of this is not offset by the cost of treatment in the US. The cost of treatment in US hospitals are too expensive so many people choose to seek treatment abroad.

Another impact of the weak US regulators in regulating the health problems are increasingly decline in the number of entrepreneurs in the US. The high cost of healthcare in the US made many entrepreneurs who eventually went bankrupt because it was unable meet the health standards themselves, the company and its workers. Making insurance for a company needed a cost very much, not infrequently then that many companies are weakened because of these health problems. A study in 2001 mentioned that the high number of bankruptcies in the US are caused by health issues and insurance. Both of these issues accounted for 46.2% of the causes of bankruptcy in the US. In 2007, that number increased to 62.1% of the causes of bankruptcy in the US.


These problems become very heated, public opinion was divided into two. Most tend to demand health reform, while others tend to reject health reform. Many American people are demanding a reform in terms of health. The US government should have control over health issues and insurance. It is based on the basic needs of the US society would care, access, equity, efficiency, cost, choice, value and quality better health.

However, this is disputed by those who opposed the healthcare reform. The delivery of health issues and insurance will only create new problems, such as financial problems. Health reform will only drain a lot of costs and revenues the state budget. The US will face economic problems if it approves health reform agenda.

The argument was denied again by a group demanding health reform. Budget funds spent on implementing health reform is still relatively small when compared with the income saved. US society no longer need to seek treatment abroad so that the cost of health care is maintained in the country.

Health reform is urgent to begin immediately, especially if viewed in infant mortality and life expectancy in the US has entered the critical number. The US has Yag infant mortality rates are very high compared to other industrialized countries. [9] Similarly, in terms of life expectancy, the US is ranked 42nd (version WHO) and ranks 47th (EU version), the US lags far from rich countries which are members of the G-5 countries (Germany, France, Japan and the United Kingdom). The high cost of healthcare in the US is suppose to be the main causes of low life expectancy there. Interestingly, the US life expectancy not only lose by developed countries, but also by small countries such as Chile (Ranked 35) and Cuba (Ranked 37). Life expectancy in the US is still far from the average of countries in the European Union. [12]

In 2000, the World Health Organization (WHO) and The Commonwealth Fund puts the US as a country that has the world's most expensive health costs. But the high cost of health is not comparable to the performance of health services produced, the US ranks only 37th out of 191 countries in terms of service kesehatan.The even put the US Commonwealth Fund ranked last in terms of public health services.

United States earned the nickname Fragile Giant, a large and wealthy country but unable to provide health care to its people. In 2004 the Institute of Medicine reported the results of research that says that the lack of health insurance has led the US 18,000 people die each year simply because the disease 'simple'. While Harvard University reported that in 2009, 44,800 US people die every year due to lack of insurance.


Robust mounting pressure from various parties about the importance of health insurance for every citizen of the United States finally pushed the US government to make a new breakthrough in the field of health-related policies. The policy named Avordable Care Patient Protection Act (PPACC), a regulation regarding the protection of patients on health costs affordable. This regulation is established on March 23, 2010.

This policy eventually became the starting point for the development of healthcare in the US in order to improve the life of its people. The regulation is the legal basis for the organization of care and health care costs more affordable for every citizen of the United States.

Health facility

Most of the existing health services in the United States is in private hands. The role of health services by the government is very small. Almost all hospitals both at the federal, state, county to city government dominated by the private sector that the government is unable to control the cost of public health.

Indeed, there are few health facilities that are owned by non-profit organizations / non-profit but the numbers are still very sedikit.Fasilitas health which is owned by the government are limited earmarked for certain groups, not all people have access to the government facility.

For example, the Department of Defense (The Federal Department of Defense) have health services in the form of field hospital and Hospital Stay (The Military Health System) but their distribution is limited to active military. Similarly, the Veterans Health Organization (The Federal Veterans Administration) is open free health care for veterans. The institute is funded by the US government to establish a VA hospital dedicated exclusively to veterans.

Indian Health Organisation (The Indian Health Service) also opened a special hospital indian tribe and other tribes that are recognized by the government. Event sponsored by government organizations and IHS aims to create free healthcare for the tribes in AS.Layanan health of the organization can not be accessed by the general public.


Research and Development of Health Products

Research and development of healthcare in the US are mostly done by the private sector. They are actively conducting research and development of medicines and medical devices. As for funding, private and government correlated. If the authorities have limitations in financing, the private sector engaged actively funding for the research. In 2003, research and development of health care at a cost of US $ 95 Billion. Of that amount, US $ 40 billion from the government while the remaining US $ 55 billion privately funded. The good cooperation between the government and the private sector in health research is to make the US as the number one country in terms of innovation in the field of health, both in the field of new drugs and medical equipment technology.

In 2006 it was noted that the US became a major medical device manufacturers in the world. The US holds a 75% trafficking in terms of medical equipment in the world. The US is also listed as the country most active in research and development in the field of health, the costs incurred for these activities even up to 82% of the total cost of the study of all countries in the world. Not surprisingly, the US became a major manufacturer of healthcare products.

The high results obtained from the patent makes many US health experts are vying with each other to produce good health. They are not reluctant to spend much money in terms of investment in research kesehatan.Semangat high in the field of research and development is indeed very good, but on the one hand it actually be driving the high cost of healthcare in the US. According to economist Dean Baker, the US position is very strange because it dominated the health of the world but undermining the health of the country. Therefore, the cost of research and development it should come from public funds (taxes) so that results can also be enjoyed by many people.

Healthcare costs and GDP

The high cost of healthcare in the US turned out to have an impact on the conditions of the Gross Domestic Product. US citizens pay for health of 16% of the total GDP. This figure is very high and is ranked second in the world after East Timor in terms of the use of GDP on health.

Department of Health and Human Services (The Health and Human Service Department) said that if a health problem is not addressed, then the use of the GDP figure will rise to 19.5% in 2017. The following is the percentage allocations of health care costs in the US :

31% to the cost of hospital care
21% to the cost of seeing a doctor / clinical services
10% to the cost of the purchase of medicines
7% for administrative costs related to health care
7% for health investment
6% for care in nursing homes
6% to the cost of professional pengobata
4% for dental health care
3% for the purchase of health products
3% for health tax. [31]
Actuarial Office (The Office of the Actuary) from the Center for Medicare and Medicaid Services (The Center for Medicare and Medicaid Services) reports that the cost of medical services in the US are too high and a record in US history. The high cost of healthcare is a waste of its own. [32] In 2007, costs incurred for healthcare in the US reached US $ 2,260 trillion (equivalent to Rp. 20.34 Million Trillion) rose from US $ 2,100 trillion in the previous year. In other words, it shows that everyone in the US spent US $ 7,439 (equivalent to Rp. 68 million) in one year just for health care costs, up from the previous year at US $ 7,026. [33]

The figure is nothing compared to the year 2009, where where the costs incurred for health reached US $ 2,500 trillion. If on average, each year spending on health is always increased to 6.7%. Everyone gives US $ 8,047 for medical expenses (Rp. 73 million / person). The high cost is not offset by wage increases, causing acute inflation in the US. A problem which is the main factor causing a meltdown in the US in 2001.

The high Cause Health Expenditures

There are several possibilities that could be a reason why health costs in the US is increasing every year. First, the medical devices that are used relatively sophisticated equipment so the cost too high. Second, health care standards higher and higher to make health care costs go up. Third, the increase in drug prices by the private sector. [38] Fourth, the high cost of insurance that is easily controlled by the private sector. This position puts the US as the most expensive country in the field of health. Costs incurred far too high when compared with the service and the results obtained.

However, the economist Hans Sennholdz found increase in health costs in the US is actually triggered by the cost to Medicare and Medicaid programs. Medical cost increases are not entirely caused by the problem of health insurance. From the Medical Expenditure Panel Survey also said that these health problems are not entirely come from the health insurance issue. In 1996 the agency had conducted a survey and the result was the high rate of health spending can not be generalized. Inequality US society in terms of health costs very tinggi.Para billionaires and millionaires in the US generally the cost is very high in terms of health. Billionaires which is only 1% of the US population have turned out to dominate 27% of health expenditure in the US. While Millionaire which is only 5% of the US population turned out to dominate 53% of health expenditure in AS.Tingginya health spending is not due to health costs, but because there is a small part of society that secrete excessive health care costs and result in increased numbers on the level national. The general level of health in the US is still relatively very baik.Badan Healthcare Research and Quality (The Agency for Healthcare Research and Quality) also supports the data. The high rate of medical expenses in the US, mostly from millionaires and billionaires in the US. The millionaires and billionaires very concerned about their health condition so do not hesitate to spend millions of dollars. Again, the general level of health in the US both from fees and personal use is still relatively very good.

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