Trends in Healthcare Spending

TRENDS IN HEALTHCARE SPENDING 1
Trends in Healthcare Spending
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TRENDS IN HEALTHCARE SPENDING 2
Introduction
Health results of the United States appear to be poorly ranked among the Organization for
Economic Cooperation and Development nations. The health costs are relatively high than in any
other nation such as the Netherlands. This paper puts its focus on the state of healthcare in the
United States of America and the Netherlands in conjunction with health expenditure. Also, it
focuses on the economics of reform that will enable the countries to achieve their objectives in
health care.
State of healthcare in the Netherlands and the United States of America
Healthcare in the Netherlands is relatively expensive and better than the U.S. It has success
stories when it comes to treating catastrophic and dangerous sicknesses. However, there are
challenges in preventive healthcare. The Netherlands is considered to be one of the best
healthcare systems globally, and individuals will be able to access world-class facilities and
qualified experts. It is quite expensive than other European nationals (Lyu, Xu, Brotman, Mayer-
Blackwell, Cooper, Daniel, & Makary, 2017). Besides, The United States has a long way in
trying to make a national health coverage. Presidential administrations have attempted to meet
the expected demands of the interest of the public and private influence for over 100 years to
create American healthcare which is accessible to all but not run by the government. United
States of America uneven return on investment is caused by more spending (Dieleman, Baral,
Johnson, Bulchis, Birger, Bui & Horst,2017). The Commonwealth Fund report indicates that 11
high-income nations share a challenge of the increasing healthcare expenditure as a measure of
the GDP percentage. It stands alone suspiciously at the top in terms of spending. In the present
years, there was low inflation of recession has kept costs to some extent.

TRENDS IN HEALTHCARE SPENDING 3
The effects combination with changes in administrative Medicaid payments which is likely to
wear off and the US can expect a further soar in costs leading to the negative lead. The scope of
the practitioner’s stays in hospitals and drugs all have an impact on healthcare spending. The
healthcare performance of U.S was also measured, and it slides again at the end of the scope
against comparable nations. The US residents are paying more yet they do not get better
performance (Chetty, Stepner, Abraham, Lin, Scuderi, Turner, & Cutler, 2016). Also, US
victims are likely to spend more on health challenges, and they are likely to get unrequired tests
and medications. There is also a concern of medical mistakes which range from wrong
procedures to excessive prescriptions to surgery catastrophes. This type of errors can lead to
death.
Expenditure of healthcare in the U.S and Netherlands
The exceptional levels of spending in health care in the United States of America has grown in
the current years in the middle of efforts to cover the gap with other nations of the Organization
for Economic Cooperation and Development. The USA was on top for healthcare expenditure
but last in terms of coverage (Kapadia, Austin, Carmichael, Wang, Erekson, Feskanich, &
Bynum, 2018). The higher spending in the United States is brought about by health price levels.
Besides, the United States healthcare plan has been majorly private coverage through
employment or self-purchased and isolated insurance for individuals who are 65 years and above
(Medicare) and those who have low socioeconomic status (Medicaid). These plans made 16% of
the population to be uninsured in the U.S (Xu, Bishop, Kennedy, Simpson, & Pechacek, 2015).
In 2010, the Affordable Care Act was executed into action in several years. Recently, the United