U.s. Health Care System

Improved Essays
The U.S. health care system does not meet the perimeters of a free or market-based system. In a free or market-based system, the price of health services is an established agreement between providers and patients. A free market is an economic system that allows the price of products to be determined by unrestricted competition in the market. Under a market-based system, prices are determined by supply and demand and the government has little control over production or trade. It is interesting align health care with the terms free market or market-based systems. In the United States, the federal government accounts for over fifty percent of health care spending. The health care industry in the United States is heavily regulated by the federal government in an effort to improve access to patient care for all Americans while also preventing fraud, waste, and abuse of such a limited resource. Another very important reason that that health care industry is not a free market is due to third-party payer system. The U.S. health system is a free market for voluntary health services that are non-essential to good health. Competition in the market give an indication that the health system has the potential to be a free or market-based system. The U.S. health care system does not operate under the free market concept for basic, preventive, emergency, and routine health care needs. The U.S. health system operate as a free market in regards to health services such as plastic

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