Demand Vs. Supply: Universal Healthcare

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Demand Versus Supply Kaushal Parikh HCS 552 January 27, 2014 Thomas Kehoe Demand Versus Supply (Davidson, 2013) In 2009, out of 33 developed nations only 32 nations had universal healthcare, the United States of America was the only one without such system till this year (True Cost, 2009). The cost of healthcare in America is 17.2% of the GDP at $8,608 per person, which comes second only to Switzerland at $9,121 per person, whose efficiency is ranked top-10 health care system in the world while the United States ranks 46th in terms of efficiency (Davidson, 2013). The constant increase in the healthcare cost has driven the United States government to look at its policies and try to come up with solutions to reduce cost and improve…show more content…
The disadvantage for an uninsured person will be that they will pay full price at a non-negotiable rate, but they can shop smarter by the use of federal database of national health care costs. The insurance companies have a negotiated reimbursement rate, include variety population, young, elderly, healthy, and sick to evenly distribute the cost of the plan therefore, lower cost health insurance. The increase knowledge for consumers on health care insurance will increase competition and supply of healthcare insurance. The private and government insurance plans will put pressure on the providers to meet quality care guidelines in order to get reimbursed (Christensen, 2013). The ACA and the CMS have made insurance buying process transparent, allowing consumers to educate themselves on not only where to go for services but have also provided a platform for consumers to compare different insurances plans thus increasing the competition between different insurance plans and increasing the number of choices for the health care consumer (Young & Kirkham, 2013). The supply, cost, and access have a tremendous impact on the demand of healthcare…show more content…
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