Bài giảng MicroEconomics - Chapter 021 Health Care

Health CareChapter 21McGraw-Hill/Irwin Copyright © 2009 by The McGraw-Hill Companies, Inc. All rights reserved.Chapter ObjectivesRising health care costsEconomic implications Problem of limited access to health care for the uninsuredThe market for health care Potential reforms of the U.S. health care system Recent legislation 21-2Health Care Facts16% of GDP in 2006, up from 5.2% in 196010% of U.S. employmentOverall prices 3.3% higher each of last 4 yearsSpending to grow 7.3% per year next 10 years45 million uninsured21-3Health Care Expenditures2006 DataHealth CareExpendituresSources ofFundsNursingHomesPrescriptionDrugsProgramAdministrationDoctorsDental, Vision, Misc.Hospitals8%10%7%21%23%31%MedicaidMedicareMilitary, OtherPublic InsuranceOther PrivateExpendituresCopayments,Deductibles, Etc.Private HealthInsurance34%15%12%13%7%19%21-4Health Care SpendingPercentage of GDP, Selected Nations, 2005United StatesSwitzerlandFranceGermanyCanadaAustraliaItalyUnited KingdomJapanMexico0 5 10 15Source: Organization for Economic Cooperation and Development21-5Economic Implications of Rising CostsReduced access to careLabor market effectsSlower wage growthPart-time and temporary workersOutsourcing and offshoringPersonal bankruptcies Impact on government budgets21-6Other IssuesAre we healthier?YesToo much spending?MaybeLimited accessThe uninsured21-7Why the Rapid Rise in Costs?Peculiarities of the health care marketEthical and equity considerationsAsymmetric informationPositive externalitiesThird-party payments: insurance21-8Increasing Demand Rising incomeRole of elasticityAging populationUnhealthy lifestyleRole of doctorsSupplier induced demandDefensive medicineMedical ethics21-9Role of Health InsuranceThe moral hazard problemLess preventionOverconsumptionGovernment tax subsidy21-10QPQP00Why the Rapid Rise in Costs?DSQaPaWithout HealthInsuranceWith HealthInsuranceDSQaPaQcPcInsurance and the overallocation of resources to health careabcEfficiencyLoss FromOverallocation21-11Supply FactorsSupply of physiciansSlow productivity growthChanges in medical technologyRelative importance of supply and demand factors 21-12Health Care System ReformUniversal access“Play or pay”Tax credits and vouchersNational health insurance Cost containment: altering incentivesDeductibles and copaymentsManaged care (PPO and HMO)Medicare and DRG system21-13Recent Laws and ProposalsPrescription drug coverageMedicare Part DHealth savings accountsLimits on malpractice awards21-14Mandatory Health InsuranceMassachusetts in 2007Proof of insurance or pay feeEliminate free ridersExpected to reduce cost for someWill increase demandState subsidy Neighboring state issuesMay not work for entire nation21-15Key Termsdeductiblescopaymentsfee for servicedefensive medicinetax subsidy“play or pay”national health insurance (NHI)preferred provider organization (PPO)health maintenance organization (HMO)diagnosis-related-group (DRG) systemMedicare Part Dhealth savings account (HSA)21-16Next Chapter PreviewImmigration21-17