Friday, June 5, 2015

How Healthcare Is Dooming the U.S. Economy ........ANOTHER PESKY FACT!

How Healthcare Is Dooming the U.S. Economy

As it stands now, U.S. healthcare will bankrupt the nation and doom it to permanent stagnation and recession.

Three charts crystallize the healthcare dynamics that are dooming the U.S. economy. The first depicts the runaway growth of healthcare costs--a rapid expansion that is a permanent feature of U.S. healthcare, regardless of which party is in office or what reforms are instituted.
 
This expansion of costs has many drivers, most of which result from the system's perverse incentives for fraud, overbilling, marginal treatments and defensive medicine.Technological and medical advances offer more options for treatment, and can push costs up--but advances can just as readily push costs down, too.

The majority of U.S. healthcare spending is not productive; it is a drag on productivity. Subtract the fraud, overbilling, defensive medicine, marginal/ineffective overtreatments and tests and the extreme concentration of costs in 5% of the populace, and we'd have a system that we could afford, i.e. one that cost less than 10% of GDP, in line with our advanced-economy competitors.
 
As it stands now, U.S. healthcare will bankrupt the nation.





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