Massive healthcare reform is currently in the works, and hopefully some good changes will be made. There are at least two unchangable certainties that will continue to increase the cost of healthcare, and while I'm in favor of a government option to compete with private companies, and the various other ideas to reduce costs, I believe one of the root causes of the rising cost of healthare are not being addressed. This is because, even though it directly affects the rise in healthcare, it is beyond the scope of healthcare policy. Yet, I believe, it is imperative that changes in this area need to happen in order to balance out the two certainties that will contintue to make costs rise.
Two things that are unchangable that affect cost:
-The baby-boomers are aging, which means that more and more people are going to need more and more care. Demand raises the cost, thus the price of healthcare is destined to increase and there is nothing we can do to change this. For more on this go here.
-New technology is always incredibly expensive when it comes out. I can buy an older cheaper Ipod and still listen to music; I don't need the latest version of it. But getting the newest and best healthcare could mean life or death, so the constantly developing technology in healthcare also means it will invariably become more expensive.
Some ways to decrease cost:
I think we need a national program to compete with private plans. I believe this because A. competition is good for consumers and B. as Paul Krugman recently argued, a national plan would keep private plans honest. Having a national plan would also ensure that everyone could have healthcare, and access to cost reducing preventative care. But here's the problem. I have good health insurance, yet I don't get a yearly check-up even though I know I should. The reality is that a lot of other people might not as well. Outside of forcing people to get check-ups, there is just no easy solution to this problem except for providers to create huge incentives for people who participate in preventative care. I know that if my premium would go way up if I didn't get my check-ups or screenings, I would start seeing a doctor regularly. Another problem is that people just might not get insurance even if they can afford it, which is why mandating healthcare is important. I understand the concern with "forcing" people to get healthcare, but realistically, everyone participating in this is important not only for the health of individuals, but for the economic well-being of the country.
But even with univeral coverage and prevention, there is still remains a missing component. Other countries aren't healthier than us because they have universal healthcare. They are healthier because they eat and live differently.
The cost-reducing issue in the healthcare debate that no one is talking about is the atrocious American diet. To deal with this, I would argue that taxes should be raised on junk food and foods that contribute to poor health, and we should stop subsidizing corn and soy beans and begin subsidizing crops that promote healthy diets. Part of the reason people are obese is because unhealthy food is cheap and healthy food is more expensive. Most fast food items, for example, are made from corn or soy products so they are cheap. And high-fructose corn syrup, a contributor to obesity, is in everything because corn is cheaper than sugar or natural sweeteners. Reducing subsidies on these crops and increasing subsidies on crops that promote a healthy diet; taxing unhealthy food; and educating the public more on a healthy diet might, by hitting Americans in their pocketbook, cause people to eat better and live healthier.
To cope with the large swath of our population getting older, we all need to live healthier lives. Eating healthier and preventative care will drive down costs making universal coverage affordable. If we tax junk food, that would generate additional revenue for the purpose of healthcare as well. The bottom line is whether it's the insurance companies or the masses, everyone needs to change their ways, but unfortunately I don't see much coming out of Washington on getting Americans to put down their Big Mac and pick up some veggies and whole grains.
