Economic Terms and Health Care History Essay

668 Words Mar 31st, 2014 3 Pages
Economic Terms and Health Care History

Economic Terms and Health Care History Over the time of history, the economics of the United States has overcome many of transformations. Formerly, the economic alterations in health care may be due to the evolutionary changes in the United States. The main contributing causes for economic health care changes are the development of technology and how medical treatment is presented. The late 1800’s is when America started to realize the establishment of medical profession. The education practices for physician became official and preparations for hospital organizations started. By early 1900’s America became known as the biggest population to have many hospitals. On the other hand during
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According to "Humana" (2014), “To keep doctors from opposing a newly proposed legislation - which led to Medicare and Medicaid - legislators agreed that the government would reimburse doctors at their "usual, customary, and reasonable rate" for taking care of the elderly and the poor.” The most vital issue facing the country was the major growth in the prices of Medicare ("Humana", 2014). This problem will likely continue to grow due in large part to the structure of the current Original Fee-For-Service Medicare program. Original Medicare isn't designed to achieve outcomes beyond paying beneficiaries' claims and guarding against fraud and abuse in the program. Lawmakers built the Medicare program on this limited model in 1965 - and little has changed ("Humana", 2014). According to "Humana" (2014), “1During 1940 Union debates had reinforced the employment-based health insurance system. By 1960, it had become clear that the system of remote health insurance in the United States had been well established and in no risk of being ripped to shreds. Yet, there were still glaring problems.” The less fortunate, day laborers, and small company workers that did not provide insurance, self-employed, and of those who did not have jobs also had no type of health insurance ("Humana", 2014). And as soon as workers retired from jobs, this would usually be at the age of 65, they would lose their health insurance and

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