The health care “free market”

Many American conservatives argue that we need to step back and allow the "free market" continue to offer the most efficient health care system in the world. The facts on the ground starkly conflict with this way of thinking. The International Federation of Health Plans recently released its 2010 Comparative Price Report detailing medical costs per unit. The study starkly illustrates that health care costs are much higher in some countries than others. The average U.S. prices for procedures are the highest of those in the 12 countries surveyed for nearly all of the 14 common services and procedures.

For example, total hospital and physician costs for delivering a baby are $2,147 in Germany, $2,667 in Canada, and an average of $8,435 in the United States. The survey shows that the cost for a hospital stay is $1,679 in Spain, $7,707 in Canada, but these costs can range from an average of $14,427 to $45,902 in the United States. The survey also found that the cost of a widely prescribed drug like Nexium can range from $30 in the United Kingdom to $186, the average cost in the United States. In addition to providing comparative cost data across the countries, the survey provides information about the wide range of costs being charged in the United States for common services, procedures and drugs. One example from the survey is hip replacement surgery which cost $12,737 in the Netherlands, but ranged from a low of $21,247 to a high of $75,369 in the United States. Five percent of U.S. prices are higher than $75,369. The differential between unit prices was greatest for surgery, according to the survey data. One of the highest differentials was for cataract surgery hospital and physician costs. The range for cataract surgery ran from $1,667 in Spain to an average of $14,764 in the United States.

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55 and Alive

A couple of years ago I became aware I was approaching 55 when all the AARP ads started arriving in the mail. If the US wants to find Osama bin Laden, tell the AARP he’s 55 and has diabetes and they’ll get a piece of mail to him at whatever address within a week! So, on December 6, 2010, I will be 55. I met with some of the old crowd for lunch and then for the Rams’ football game last week where we bet on what new way the Rams would invent to lose in the last three minutes to break our hearts; no one picked a bad pass interference call. Most of my friends married much earlier that I. My friends talked about their kids in and out of college, their grandkids (yikes!) and ceaselessly gave me grief for having a 12 and 9 year old at home. We talked about business, the economy and stupid things we did when we were young that we never told our wives or kids about for fear of fury or fatal repetition after our own undeserved good fortune. We had brief discussions of politics but, my friends have nearly all lost their minds to Faux News, vote Republican against their own and their kids and grandkids’ economic interests and don’t want to stop drinking the Kool Aid. I referred them to facts, posts at this blog and other reality based content but, to no avail. Really good chicken wings, decent ravioli and continued good company and wait service mellowed us all until we left with promises to meet again soon. [More ...]

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Putting health care into perspective when discussing the budget

Check out this short comment and the accompanying chart in this Mother Jones article by Kevin Drum. He has some good advice on how to get serious when discussing the budget. If you are not considering spiraling health care costs, you are are not being serious. Connecting the dots, Obama's health care "reform" was not serious. The Republican proposals are even less serious, amounting to government-implemented social darwinism. I would add that our immense military expenditures also deserve scrutiny and the budget axe.

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