The varying types of health care systems have arisen from each health service having their own different health objectives. Fundamentally there are two models of systems that health care seems to be based around (Culyyer et. al, …show more content…
Japan and Germany both have a mixed health care system, the UK a single payer and the US a multi payer health insurance. Two mixed payer systems have been included to show the variability of the mixed health care system; Germany being below the average effectiveness and Japan being above. The life expectancy does not fluctuate much; instead the variability of the effectiveness arises from health care spending.
The UK is seen as being averagely effective but only for OECD countries, but as a single payer health care system and taking into account countries not in the OECD it can be viewed as an effectively run service.
The US clearly spends the most on health care than any other single country (Table 2), and it also has the largest multi payer system and private health care in the world. Its poor effectiveness (life expectancy vs. expenditure) could be attributed to the type of system it enforces or simply its inefficiencies could be due to a theory known as diseconomies of scale. Krugman (2007) estimated that the US spent $98 billion in excess (relative) administrative costs and $66 billion in excess (relative) drug costs compared to nations with a single payer health …show more content…
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