Overview US health policy 2.pptx - Overview of U.S Public Health System Different models of public health systems In the U.S there is a primarily

Overview US health policy 2.pptx - Overview of U.S Public...

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Overview of U.S. Public Health System
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Different models of public health systems In the U.S., there is a primarily private (that is, non governmental) health care delivery system (with substantial government programs) Basic rationing mechanism is price If you can pay for the care or for the insurance that provides the care, you can get the service So everyone who can directly or indirectly pay price P* gets the treatment Q Price P*
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Comparison with other countries (chapter 21) Until 2010, the U.S. was the only industrialized country that did not have some form of universal public insurance/health care system The German system, for example, had its origins in the 1880s Great Britain: National Health Service Created in 1946 Provides basic health care to all residents Moderate copays on drugs, but many exempt Operates as a rationed health care model Health care is available to everyone, but access to specialty care is rationed through waiting lists Also may not have access to all the latest technologies as quickly as in the U.S. Ex: government negotiates a drug formulary for the entire National Health Service, so the government negotiates drug prices Some of the latest drugs may not be available thru the NHS if it finds that the benefits do not justify the costs Patients can get private care outside the system if they are willing and able to pay for it
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Canada: (Canadian) Medicare Established in 1970s Public insurance program (a “single payer” system) So private providers, but government bears costs IN general, Canada has lower costs, more services and superior health status compared with the U.S. One advantage: lower administrative costs How are services rationed: waiting time But cost is not a rationing mechanism
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Different models of public health systems So, in the British and Canadian system, price is not the rationing mechanism Price is more like P** than P* Quantity demanded exceeds supply, so have to find another way to ration access Waiting time: for non emergency services, may have to wait
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