in the U.S. health expenditures in drugs amount to about 10% of total health exp
ID: 1189581 • Letter: I
Question
in the U.S. health expenditures in drugs amount to about 10% of total health expenditures. in Japan, where physicians are legally permitted to sell pharmaceuticals, national expenditures on drugs are almost double the level in the U.S. discuss how the incentives of physicians differ in both countries. suggest some reasons why legal requirements might be so different in the U.S. health expenditures in drugs amount to about 10% of total health expenditures. in Japan, where physicians are legally permitted to sell pharmaceuticals, national expenditures on drugs are almost double the level in the U.S. discuss how the incentives of physicians differ in both countries. suggest some reasons why legal requirements might be so different in the U.S. health expenditures in drugs amount to about 10% of total health expenditures. in Japan, where physicians are legally permitted to sell pharmaceuticals, national expenditures on drugs are almost double the level in the U.S. discuss how the incentives of physicians differ in both countries. suggest some reasons why legal requirements might be so differentExplanation / Answer
Japan’s health care system is designed to make medical services available to all citizens via employer-purchased insurance and to control health care expenditures. This has resulted in one of the healthiest nations in the world at one of the lowest costs.
Various insurance plans are involved, financed by compulsory payroll deductions, taxes, and patient co-payments. Patients freely choose their providers, and providers are paid by a nationally uniform method and rate, negotiated by a council made up of insurers, providers, and citizens.
The Plan’s Strengths:
America does not have a purposeful "system" of health care as much as a tradition of laissez-faire practices that have developed over time. The central element is a financial arrangement that pays for health care services through employer-purchased insurance. Historically, patients have had the right to choose any physician, and physicians have been free to choose among specialties and to practice where and how they like. New managed care plans increasingly restrict both of these choices. Market incentives encourage the development of new drugs and high-tech treatments.
For some of the uninsured, the government pays for health care through Medicare, Medicaid, the military, Native Americans, the Veterans Administration, and other programs. This leads to great complexity, since all of these plans follow different eligibility, underwriting, benefit, and reimbursement policies.
The System’s Strengths:
The System’s Weaknesses:.
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