Why Medicare for all? A trillion-dollar savings
The United States has an inefficient national healthcare system. The US system is ranked 54 out of the 56 wealthiest nations. Average US per capita cost is $10,224 per annum. Other wealthy countries, on average, spend 50% less than the $10,224 average consumers spend on US healthcare.
The problem for US healthcare consumers is that the national healthcare system fails to operate in a free market system. The prices of healthcare goods and services (e.g. hospital operations, therapy, etc.) do not have to be provided to customers before the goods and services are provided.
This closed market provides multiple opportunities for price fixing: opportunities taken by a host of non-medical professionals who, acting as parasites, jack up prices. They ensure there is no transparency or accountability, no competitive market, when it comes to healthcare goods and service charges.
The failure to require list price disclosure of healthcare goods and services permits concealment of the true cost of those healthcare goods and services. When the free market operates, prices must be considered in advance, and prices likely drop to meet competition.
So, when the free market operates in the USA, shouldn’t we expect a 50% drop in the charges we already know are overcharged.
How significant might the saving be when the United States moves to a free market with price disclosure for our national healthcare?
Existing per capita expenditure is $10,224 and the population of the United States is 327.2 million.3 The potential 50% saving therefore exceeds $ 1.6 Trillion.
Those who listen to the idea of any additional cost for universal healthcare (Medicare for all), albeit unknowingly, support the healthcare professional parasites. Those of us with an accounting background know Medicare for all should bring significant savings.
• Miller & Lu, (2018) Economies with the most efficient health care see www.bloomberg.com/news/articles/2018-09-19/u-s-near-bottom-of-health-index-hong-kong-and-singapore-at-top
• Peterson Kaiser (2018) Health System Tracker see www.bloomberg.com/
•United States Census Bureau (2019) see www.census.gov/quickfacts/