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America’s overall health care bill has risen to about $2.3 trillion, 16 percent of our total economy (and twice what we spend on food). Spending has been rising much faster than overall inflation -- by 7 to 8 percent a year and at twice the rate of economic growth. By 2040, overall health care spending is projected to double as a proportion of gross domestic product, accounting for more than one-third of all the goods and services that the United States produces.
Choice 1: Use free market competition to maximize personal choice while making the system more efficientThe main problem with America’s health care system is that costs keep going up. The best way to solve this is to reduce regulation and use free market competition to help more Americans get health insurance at a lower cost. Individuals should take greater responsibility for both their personal health and their health care. We should also embrace managed care, which tracks expenses and, for a time during the 1990s, slowed cost increases. By moving further in the direction of managed care and adopting medical savings accounts, which encourage individuals to save and shop around for health care, we’ll be able to bring down costs and cover more people. Overall, we should minimize the government's role in health care and let the private sector do as much as possible. Choice 2: Expand on the current system to fix many major problems without the risks of radical changeWe don’t need to completely start over. We already have many high-quality physicians, medical centers and insurance plans that cover most Americans. We can just extend these programs, public and private, to cover more people. We should require employers and individuals to have health insurance and offer them financial incentives to make it affordable. The federal government already has effective health programs for the elderly (Medicare), the poor (Medicaid), low-income children (SCHIP) and its own employees. If we expand eligibility for those plans and require employers to offer coverage, we’ll be able to cover more uninsured people with the least disruption to those already covered. Gradually expanding the current system is the most practical way to cover more people without breaking the budget. Choice 3: Create a national health care system to make sure everyone is coveredDecent health care ought to be a basic right, not something that depends on the job you hold. Our patchwork health care system of private insurance and government programs simply isn‘t working. It‘s time to try what Canada and most European countries already have: a national, government-run health care system. The system would work much like Medicare, except that everyone would be entitled to coverage, regardless of age, income or job status. Like Medicare, you‘d still pick your own doctor, but the government would get the bill. We‘ve debated what to do about health care for years, but so far we haven‘t come up with a solution. This is the only way to solve the problem of the uninsured, once and for all. |
Study Uncle Sam's Students Face Up to the Nation's Finances has a contest each semester, in which college students tell us – in writing, or in a multimedia format - what they think about the federal budget deficit and national debt and what should be done about it. There are four prizes of $500 each, with two winning entries chosen by our judges and two chosen by students voting on each other's entries, submitted to and posted on FacingUp.org. All videos and essays from the Spring 2009 contest can be viewed online, along with the winners' list. Next round of the competition will be in the fall. Questions? Write to support@facingup.org. Changing Expectations
»A new report finds the main problem in getting the public to deal with our fiscal problems isn't opposition to tax increases or spending cuts -- it's their lack of trust in the government to spend their money wisely. |