Health Finance Essay Example | Topics and Well Written Essays - 2000 words

Health Finance - Essay Example The cost of healthcare in the United States of America has been something of concern for some time. When the cost of healthcare services in the United States of America was compared to costs in some of the countries it was discovered that the cost of healthcare in the US was alarmingly high. In comparison to the other developed countries the United States of America has the highest prices for healthcare. In 1992 14% of the federal budget was allocated to healthcare. The percentage has gradually increased over the years. By 2012 the percentage had gotten to 22% of the federal budget. This report discusses the possible causes of the high cost of healthcare in the United States of America. The report will also go ahead and give recommendations of possible ways through which the situation can be improved. The most obvious explanation for the high cost of healthcare in the United States of America is the high healthcare prices in the country. A study on the prices of healthcare in the developed countries has proved that the prices of healthcare services in the United States in the US are very high. Factor such as frequency of visit to hospitals and quality of medical services have further proved that the high cost of healthcare in the United States of America. The German population was discovered to frequent the hospital more than the US citizens despite the fact that their healthcare costs their government less annually. The high cost was mostly attributed to the high healthcare services in the country. For instance, it was discovered that hip replacement could cost about $13,660 in Belgium while the same costs about $100,000 in the United States of America. This is a clear indication of high healthcare prices in the country. Another thing that can be said to be a contributor to the high cost of healthcare is the fact that there is very minimal intervention of the government