Economics of Healthcare

Leading along, healthy life very so often requires the input of resources and this in a way makes it an economic issue. Around 16. 6% of every dollar spent in the economy of the U. S goes to some kind of patient care including expenditure on medical research scientists, pharmaceutical drugs, and healthcare providers. It is, therefore, important to appreciate the unique economics of healthcare in understanding the present economy (Pauly, 181). The policymakers in the U. S economy who are on the political left claim that the duties of the government should be broadened. They think the private insurance organizations prioritize profits and are very inefficient. Some believe the government should offer an alternative healthcare system-public insurance program that all people can purchase into rather than buying private insurance (Pauly, 182).

Others prefer to shift toward a single payer program where medical expenses for all citizens are paid for by the government just like Medicare does for the grown-up. Those on political rights are much interested about the distortionary effects redistributing income and taxes. They call for a lower taxes and more limited government for economic growth as a whole (Barros, 45). However, reduced government revenue implies minimal public resources to aid those battling to have access to healthcare they deserve. Conversely, those on political left want common health coverage offered to each and every person no matter the income. This is possible either through subsidizing of the private insurance for low-income households or via government-run insurance programs.  Economics for healthcare managers. Chicago, IL: Health Administration Press, 2009.