The High Cost of Healthcare in the USA: An In-Depth Analysis

Healthcare in the United States stands out for its significant costs compared to other developed nations. Why is this the case, and what can be done to make healthcare more accessible? In this article, we will explore the root causes of high healthcare costs in the USA and contrast them with the more affordable models in countries like Canada and Australia.

Profit Over People: The Core Issue

The fundamental problem with the US healthcare system is its profit-driven nature. Unlike in Canada and Australia, where the health services are non-profit, American healthcare is dominated by for-profit entities such as insurance companies and pharmaceutical giants. This profit-first approach often means that healthcare costs are driven upwards, far beyond what is necessary to cover healthcare needs.

For example, Medicare, a government health insurance program for the elderly and disabled, charges a monthly premium (about $175) that covers only 80% of negotiated medical fee schedules. The remaining 20% must be covered by private insurance, which charges an additional $125. This discrepancy highlights the inefficiency and greed embedded in the US healthcare system.

The Role of Lobbying and Corruption

The high costs in the US healthcare system are further exacerbated by the rampant lobbying and corruption within the industry. Politicians frequently receive large sums of money from pharmaceutical and insurance companies, which they often use to secure favorable legislation. This corrupt influence has led to a system where the primary beneficiaries are large corporations rather than the general public.

In countries like Canada, it is illegal to bribe politicians. This absence of corruption helps to maintain a more equitable and affordable healthcare system. The integrity of the political process ensures that decisions are made with the aim of improving public health rather than lining the pockets of powerful corporations.

Comparative Healthcare Systems: Lessons from Other Countries

Other countries like Canada, Australia, and New Zealand have successfully implemented non-profit healthcare systems that offer cost-effective solutions. These systems prioritize public health over profit and are designed to ensure that all citizens have access to necessary medical care.

For instance, in Canada, healthcare is based on the principle of universality and accessibility, funded through a single-payer system. Unlike the fragmented and for-profit model in the US, this approach ensures that the cost of healthcare is shared across the entire population, making it more affordable for everyone.

Proposed Solutions and Policy Changes

To address the high costs of healthcare in the USA, several changes must be implemented:

Eliminate lobbying and political corruption by strictly regulating the influence of industry on the political process. Shift to a not-for-profit healthcare system, similar to that seen in Canada, where healthcare is funded through public funds rather than private insurance companies. Cut excessive overhead costs and red tape, making the system more efficient and reducing unnecessary expenses. Leverage Canada's healthcare system as a model to create a universal, cost-effective, and accessible healthcare system in the USA. Allow Medicare to negotiate drug prices and expand price controls to include a broader range of medications.

By shifting to a more regulated and transparent system, the USA can significantly reduce the cost of healthcare and make it more accessible to all citizens. The time has come to prioritize public health over corporate profit.