Over the past year, an intriguing report about medical costs has emerged. Growth will slow down dramatically and unpredictably as spending continues to grow each year.
This trend projects to continue for the next decade, partly due to the effects of the Great Recession. Currently, it is obscure what contribution the Affordable Care Act, President Barack Obama’s medical law, played in the recession.
U.S. News Health Care Index Shows Enormous Rise In Consumer Costs
However, examining different features of health care costs can help determine which factors may reduce health care costs. Health care costs continue to rise faster than in other parts of the world, threatening the monetary sustainability of government-sponsored health schemes.
To examine the changing aspect of health care in the US economy, US News has generated a new yearly health care index that looks at trends in detail of health care sectors from 2000 to 2013.
As health management enters an unseen change in the way individuals have covered reimbursement of care and how it is delivered, to comprehend how it influences things like work and an individual’s financial wellness, says Brian Kelly, a chief content editor at US News. Changes in the medical system under the Affordable Care Act have yet to be measured.
Key features of the law, such as mandatory health insurance, the Medicaid increase, and the need for employers to ensure health insurance, were not in effect at the time of data collection.
The medical industry has foreseen some prime steps in the law and previously enacted similar measures. Public spending gets low automatically because the 2013 budget entry is also not considered.
For this index, United States News examined main monetary factors such as spending, medical expenses, insurance, medical employment, medical education, and international comparisons.
To be included, some health-related measures have generally been published annually since 2000 and are statistically significant enough to provide definitive trends in some necessary aspects of the medical industry.
Like the S&P 500, the Dow Jones Industrial Average, or other major indexes such as the Consumer Price Index, the US News Health Care Index has a foundation year to measure changes in fundamentals.
The base year for the Health Care Index is 2000, which sets at 100.0. News and measures of annual changes in member activity from 2000, computed annually by the United States.
The 2015 index shows a steady upward trend in overall results, but from 2009 to 2013, the key components, spending, and employment played a more balanced role and, significantly, slowed growth due to the Great Recession.
The most evident is the trend in the proportion of spending on private and public medical insurance. Since 2000, Americans covered by private schemes have declined, citizen medical insurance, including Medicaid, a government insurance program for unprivileged or disabled individuals, and Medicare, an insurance policy for the elderly. The number of Americans targeted by insurance is increasing overall.
Throughout the Great Depression, people lost their position of employment and related medical services. Some are registered or not covered by Medicaid. In the years following the end of the depression, the share of individuals covered by private schemes has remained stable.