Final answer:
Technological advances in healthcare both contribute to higher costs through the development and implementation of new treatments and technologies, as well as provide potential cost-saving efficiencies. However, they cannot be solely credited with preventing cost escalation in the healthcare system.
Step-by-step explanation:
Technological advances in healthcare have been double-edged. On one hand, they contribute to the escalating cost of healthcare due to high prices for new treatments and technologies. On the other hand, certain technologies have introduced efficiencies that help control costs through better disease management, telemedicine, and standardization of care.
Therefore, the statement that technological advances are helping to keep the cost of healthcare from escalating further is false as it oversimplifies the impact of technology in healthcare economics.
Technologies such as artificial intelligence, telemedicine, and other innovative healthcare delivery models have potential to reduce costs through improved efficiency and preventative care. However, the cost associated with developing, implementing, and maintaining these technologies can be quite high in the short-term.
The U.S. healthcare system in particular struggles with this balance, as it often pays top dollar for the latest medical innovations, contributing to its high overall costs.