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Us health care spending linked to higher prices and greater use ofmedical technology, not more doct by grass lawn





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Us health care spending linked to higher prices and greater use ofmedical technology, not more doct by
Article Posted: 01/10/2013
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Us health care spending linked to higher prices and greater use ofmedical technology, not more doct


 
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Prices for the 30 most commonly used prescription drugs were athird higher in the U.S. compared to Canada and Germany, and morethan double the amount paid for the same drugs in Australia,France, the Netherlands, New Zealand, and the United Kingdom.Magnetic imaging (MRI) and computed tomography (CT) scans were alsomore expensive in the U.S., and American physicians received thehighest fees for primary care office visits and hip replacements. Health care in the U.S. also seems to involve greater use ofexpensive technology than in many other countries.

The U.S.performed the most MRI and CT exams among countries for which datawere available (Japan had the most MRI and CT scanners, but no datawas available on the number of exams performed there). Kneereplacements were also performed more often in the U.S. than anycountry except Germany - though hip replacements were not as commonas in most of the other study countries. High spending in the U.S.

might be explained, in part, by thenation's high rates of obesity and the associated medical costs. However, at the same time, theU.S. also has a very young population and few smokers relative tothe other study countries - factors that could offset higherspending linked to obesity, the report notes. Health Care Quality Varies Widely Despite High Spending in theUnited States High spending in the United States does not always translate intohigh-quality care. According to the report, the U.S.

had thehighest survival rates in the study for breast cancer , as well as the best survival rates, along with Norway, forcolorectal cancer. However, cervical cancer survival rates in the U.S. were worse than average and well belowthose of Norway. Compared to other countries in the study, the U.S. had high ratesof asthma-related deaths among people ages 5 to 39 and, along withGermany, very high rates of amputations resulting from diabetes.U.S.

rates of in-hospital deaths after heart attack and stroke wereaverage. All of the countries in the study, except for the U.S., provideuniversal health care, and all struggle with rising health costs.The level of health care spending in the U.S., however, standsapart. If the U.S. were to spend the same share of its GDP onhealth care as the Netherlands - the country spending thenext-largest share of GDP - the savings would have been $750billion in 2009.

The Japanese Model of Cost Control Japan offers an interesting model for controlling costs. Althoughits health care system shares certain features with the U.S., Japanis the lowest-spending nation of the group ($2,878 per capita in2008). Japan operates a fee-for-service system, while offeringunrestricted access to specialists and hospitals and a large supplyof MRI and CT scanners. Rather than containing costs by restrictingaccess, Japan instead sets health care prices to keep total healthspending within a budget allotted by the government.

In the U.S., individual payers negotiate prices with health careproviders, a system that leads to complexity - and varying pricesfor the same goods and services, according to the report. "The Affordable Care Act gives us the opportunity to build a healthcare system that delivers affordable, high-quality care to allAmericans," said Commonwealth Fund President Karen Davis. "Toachieve that goal, the United States must use all of the toolsprovided by the law - including new methods of organizing,delivering, and paying for health care that will help to slow thegrowth of health care costs, while improving quality." Additional References Citations.

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