Economic Terms and Health Care History
Earlene J Patton
Saturday, May 21, 2015
University of Phoenix
Economic Terms and Health Care History
When writing this paper, the topics covered will be the history and evolution of healthcare economics and the timeline of healthcare funding, using the defined terms. To meet the supplies and demand health care has changed. Majority of the changes and constraints in the economy of the health care system has to change as well. Over the years health care has changed tremendously. Over the years healthcare economics has gone major changes. Economics is defined as “the science that deals with the production, distribution and consumption of goods and services, or the material welfare of humankind” (Economic Terms 2010). The economy has played a major part in the change. In the pass and even the present health care plays important role in Americans lives. Americans don’t go to their doctor visits because they cannot afford it. Knowing the cost of receiving health care is extremely high. In the pass the government didn’t fund healthcare. People had to make ways to pay for a doctor’s visit. Today the government fund healthcare and also provide programs. There were no healthcare programs like the economy have today. The economy has gotten much better then what it was in the but it can become even better for the American Citizens Organizations have been debating a better way to provide access to more affordable health care for American Citizen. When health care change it’s slow to change because health care majority of the time the motive are pointed the different direction. In the pass health care transport has changed. There are four main changes in health care that have really impact in health care where we are today. The four changes are: the HMO act of 1974, the introduction of Medicare and Medicaid, introduction of group healthcare insurance as an employer/employee premium from federal taxes and the enactment of the protection and affordable care act. During the years of 1939 and 1940 the group health insurance as an employee benefit and exempting the employer/employee premium from federal taxes was introduced. This set the stage for the development of the group health insurance market. The tax exempt status of health insurance premiums remains in effect today. In the year of 1966 Medicare and Medicaid was introduced. Not every American citizen qualify for Medicare and Medicaid. The grovement provided the two programs that’s help provide medical and health-related services. At the time the government was focused in the health insurance business big-time and created the entitlement programs that now contribute significantly to the economy deficit. Medicare and Medicaid are two different programs. Medicaid is defined as “a means-tested health and medical services program for certain individuals and families with low income”. Medicare is defined as” a federal health insurance program that pays for hospital and medical care for elderly and certain disable Americans. In 1973 the Health Maintenance Organization known as the HMO Act of 1974 was brought into place. Managed care was introduced as the "savior" to address the rising health care costs in the country. It worked for a while in the pass, but today it doesn’t.
In 2010 the enactment of the Patient Protection and Affordable Care Act (PPACA) was also introduce. In today’s economy the grovement still don’t know the final outcome- the legislation was a wake-up call for the country and an attempt to shake-up the unsustainable health care system we have in place today. In conclusion, hopefully over the next few years health care will become better for American Citizens. There will be fewer problems and more doctors’ visits. In the future more programs should be increasing for more families not just older Americans or certain Americans. When you look at it millions of Americans can’t afford insurances...
References: Health economics. (2012). Retrieved from http://www.investorwords.com/7952/health_economics.html
Marcinko, D. (2007). The Imperfect Competitive Medical Marketplace. Retrieved from http://medicalexecutivepost.com/2007/12/19/demand-and-supply-in-medical-care/
Science Reference. (2010). Retrieved from http://www.sciencedaily.com/articles/m/microeconomics.htm
Sherden, W. (n.d.). Two Laws on Bullish and Bearish Economists. Retrieved from http://www.investorwords.com/tips/1364/two-laws-on-bullish-and-bearish-economists.html
The economics of healthcare. (n.d.). Retrieved from http://oheschools.org/ohech2pg7a.html
Please join StudyMode to read the full document