Question

A newly graduated nurse is attempting to understand the reason for increasing health care spending in the United States. Her research finds that these costs are much higher compared with other developed countries as a result of:

a. a higher rate of obesity among pregnant women.
b. limited access to technology.
c. increased usage of health care services along with lower prices.
d. homogeneity of the population.

Answer 1

Increasing health care spending in the United States is due to higher prices and not necessarily increased usage. Health insurance creates a moral hazard, leading to more healthcare demand, while the U.S. faces poorer health outcomes despite higher spending.

Step-by-step explanation:

The reason for increasing health care spending in the United States is multifaceted. Despite having fewer doctors and hospital visits, the cost of healthcare in the U.S. is driven by higher prices, which is not necessarily due to increased usage of healthcare services. The issue of moral hazard arises where people with health insurance are likely to demand more healthcare services.

Factors such as diet, exercise, and genetic predispositions play a crucial role in a country's overall health and are often more indicative than health expenditure. The U.S. faces high obesity rates, contributing to increased health issues and, subsequently, healthcare spending.