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National Health care spending paper is a document prepared by health organization in a country which shows the growth in health care cost to assist the policy making in understanding the future direction of health care spending and status of health care “crisis”.

This is accomplished through authors comparison with their “real” cost with the countries “real” cost which may bring similarity or difference in conclusion.

There is an indication that health care spending is in increase as compared with the benefits acquired in most developed countries. This in turn poses a big question that whether such countries will be able to pay for their future health care needs.  In United States, this issue is acute.

It not only spends much of its per capita on health care but also has had one of the fastest growth rates in health spending among developed countries.  Although united state spends more in this issue, better results have not been notices.

Currently, it is reasonably well known that U.S. spends more per capita on health care than other countries and also has high level of health spending per capita and a relatively high rate of real growth in that spending, the GDP has been notices to rise from 8.8% in 1980 to 15.2% of GDP in 2003.

This increase of 7% point in the health share of GDP is quite larger than increase seen in other high-income countries. This suggests that health service regulations could increase estimates of overall regulatory cost more than 25 per cent.

The annual net cost of health service regulation dwarfs other costs imposed by government intervention in the health care sector.  This cost exceeds annual consumer expenditures on gasoline and oil in the United States and is twice the size of the annual content of the notion picture and sound recording industries.

[Maynard A,(2005)]

The research has also shown that in United States health expenditure is projected to absorb one-sixth of the economy in less than a decade. It then calls to focus on this void in our understanding of the impact of regulation.

The level of current national healthcare expenditures in unites state has been through regulation of facilities in the health sector.  There has been enormous variety of health facilities in the US. health system, varying in degrees of health services regulation.  Such include:

Inpatient hospital facilities which include short-term general hospitals especially psychiatric facilities (short-term and long-term) substance abuse treatment facilities. Another one include ambulatory care facilities like hospital out patient departments, medical officers/clinics, ambulatory surgical  centers, birthing centers, diagnostic imaging  centers, outpatient laboratories and pharmacies.

Also there are post-acute care facilities.  This composes of home health and hospice services, renal dialysis centers, skilled nursing facilities and intermediate care facilities including the mentally retarded.  United state has also provided Access to related facilities regulations.

Such included (1)  The emergency medical treatment and active labor act (2) hospital community service requirements like state community service requirements. (3) Hospital uncompensated care pools that tax hospital and redistribute the revenues; (4) hospital converting pital conversion regulations that impose state oversight on the process of converting public or non profit facilities to for-profit status; and (5) limited English proficiency requirements that ensure effective translations to the patients who don’t communicate in English.

All these access-related facilities regulations as a group cost $11.8 billion but provide a benefit of only3.8 billion.

[Maynard  A,(2005)]

It also provides cost-related facilities regulations which include fraud and abuse regulations. Such includes state laws and raft of federal restrictions like false claims Act of 1963, it also provides quality-related regulations including hospital accreditation and licensure, which includes Medicare conditions of participation which has many purposes but the quality is arguably the central one and state accreditation and licensure; nursing home accreditation and licensure.

United State also uses part of its expenditure in provision of Health Professional Regulation. Due to more variety of health professionals most of who are subject to these regulations include: physicians/dentists especially those with a doctorial degree, like doctors of medicine, doctors of osteopathy and doctors of dental science.

Also mild-level providers who include physician assistants (Pas), optometrists and podiatrists.  They also include mental health providers like psychiatrists, psychologists, social workers and other allied health providers like dental hygienists, licensed practical nurses, pharmacists and registered nurses.

US also spent in Access-Related professionals Regulations.  Under this one, only Medicare physicians’   payment rules are included.  There is also expenditure in cost-related professional’s regulations which are related to fraud and abuse; federal and state regulation of medical records as they relate to offices/clinics for physicians, dentists among others.

These regulations result in $15.1 billion in cost and only $4.3 billion, taking in to account gross federal payments of $8.2 billion which are assumed to be transfers, i.e. benefits to recipient hospitals and cost to tax payers and costs associated with losses in tax collection.

It also ensures provision of Quality-Related Professionals Regulations.  Quality related includes professional accreditation and licensure (e.g., state medical practice and Medicare as they relate to physician offices, national practitioner Databank. These regulations cost Americans $7.7 billion annually, with only benefits of $5.7 billion.

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