Economic issues in health service essay

Amarendra Oct 19, While most Americans agree that the healthcare system needs to be fixed, they remain woefully unaware of the problems facing the health care industry at large.

Economic issues in health service essay

Get Full Essay Get access to this section to get all help you need with your essay and educational issues. It was found out that almost 45 million people are not covered by health insurance in the United States today, with the number expected to surpass the 50 million mark by year This is the most concrete evidence which attests to the fact that the health of the people in this country is on a decline.

The explanation for this very sad reality is simple: Accusing fingers are pointing to the rising cost of health care as the main reason.

What makes the situation more alarming is the fact that majority of the uninsured are coming from the ranks of the working people, i. Even children have not been spared — around 10 million are not covered by any health insurance today.

Depressing as it may sound, we simply have to accept the fact that health care cost has already gone beyond the reach of the average American. The different sectors of society responded in varying degrees to this deplorable situation. Adams hinted at the existence of a market monopoly.

The Real Cost of the U. He explained that this inefficiency in the system of health care in the country not only triggered the dramatic rise in the cost of health care, but has also started driving away investors.

In fact, he claimed that businesses are now starting to look elsewhere not only for cheap labor but also cheaper health care cost for their employees. Dental, maternity, prescription drugs, surgical procedures, imaging tests, you name it.

Economic issues in health service essay

Co-pays are stunningly affordable too. Our current system of for-profit medicine only rewards the treatment of sickness. And thus, by its very nature, it precludes any incentive for the promotion of health.


It is strongly believed that in the mad scramble for profits and market share, the health of the people, which is supposed to be the basic concern of the industry, is oftentimes forgotten. The competition has already reached a point where hospitals outdo one another in providing facilities and conveniences which used to be offered only by hotels such as luxurious lobbies, five-star accommodation and service, first-rate interior decorations, valet parking and other amenities not primarily associated with patient care.

All of these add-ons contribute to increased rates in hospital stay not only for rich patients but for everybody. Too little collaboration and redundancies arising from competition also result to higher health care cost.

An example of this could be a case when hospitals and clinics figure in a race to offer services such as diagnostic imaging and dialysis, the resulting scenario being that four or five clinics and hospitals situated near each other end up having identical equipments, thus, offering basically the same services to the same territory.

If only these hospitals and clinics do not compete with each other more than they collaborate, a better, more efficient health care delivery system could be achieved at a much lower cost for everybody.

Adams blamed a market monopoly for the problems besetting the health care industry. Then Mahar pointed an accusing finger at the fierce competition among hospitals and other players in the industry as the principal causes for the rapid rise in health care cost.

As if these two views alone were not enough to confuse the public, a third concept joined the fray. According to this third notion, the real culprit is neither a market monopoly nor the intense market competition. He cited as an example of a change in clinical threshold for treatment the case of treating hypertension.

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