United States Appears To Be A Lucrative Healthcare Market Based On Spendings

Jan-2019 | e-Market Research | Others

The United States spends much more on per capita health care than other developed countries; the main reason is no longer the use of health care, but higher prices associated to the services, according to a survey conducted by a team led by a researcher at the Johns Hopkins School of Public Health.

Researchers found that health care spending in the United States is mainly due to higher prices, including higher drug prices, doctors 'and nurses' salaries, and higher drug costs and the prices of many medical services.

The states that the United States is still an atypical country in terms of spending on health per capita, which in 2016 reached $9,892. This amount was about 25% higher than the $7,919 in second place. In Switzerland, it was also 108% higher than $ 4,753 and 145% higher than the median of $ 4,033 established by OECD (the Organization for Economic Cooperation and Development). Both studies were based on an analysis of health use and expenditure in the United States and other industrialized nations associated with OECD countries.

Anderson and his colleagues saw a big dissimilarity amid 2003 and 2016. There was a developing slit amid what public insurers and private insurers pay for the same health care. In order to reduce health spending per capita, the authors recommend that the United States focus on what self-insured and private insurers pay as they pay far more than public insurers.

Total US health spending spurred between 2000 and 2016, with an average annual rate of 2.8%, which is higher than the OECD's 2.6% annual average increase. In per capita terms, inflation-adjusted pharmaceutical spending also increased much more rapidly in the United States, at a rate of 3.8% per year, compared to only 1.1% for the OECD median.