Universal Health Care, Essay Example

Universal health care is the special coverage system that ensures that all residents of the country have an access to the medical facilities and assistance. Universal health care is funded through a variety of different programs worldwide. All of the developed states, accept for the USA, have universal health care system. It seems to be global trend today, as some of the developing countries try to imply various programs that would cover 100% of the population. However, the question still remains: is the universal health care a solution to all of the problems in the sphere? Should such programs be implied everywhere else in the world? I suppose no. With all its benefits and positive sides, universal health care has a number of serious drawbacks and counterarguments that should not be ignored.

The first argument is relatively simple: universal health care is extremely expensive.

It is hard to estimate the costs of introducing the universal health care in the US, but the sum will obviously be huge. There may simply be not enough money to provide the entire population with free medical assistance. The approximate sum needed for the reform of the health care system is said to be over $1 trillion (FoxNews.com). Such funds are obviously not accessible to the US government in the nearest years. US public debt has already reached its historical maximum at over $10 trillion, and a 10% increase is not likely to happen.

Secondly, it is rather obvious that free health care is not a constitutional right. Effective health care is rather a privilege that has to be paid for, than a government-ensured right of any citizen. There already is a number of responsibilities carried out by the federal government. Tax system already funds a great number of initiatives that urge for more spending (social protection and benefits, national security, etc).  It is high time to remember Kennedy’s words and ask what one had done for the country, than what the country has done for him.

Then, it is rather clear that waiting time would increase dramatically, which could lead to serious problems. Once the health care system becomes free for everyone, the lines in hospitals will double or even triple. People with most insignificant illnesses or with none at all might want to consult the doctor “just in case”. Eventually, the waiting time for those actually needing help might increase. This doesn’t happen due to the effective insurance system that is being used at the moment. Each visit to a doctor is relatively expensive, which makes people think twice before actually going to the hospital with the most insignificant reasons.

Moreover, it is rather likely that over-regulation might emerge. In case the government spent money on the health care coverage, it would like much more control over where the money is going. The doctor’s profession is already extremely formalized, but in case medical workers become employed by the government, the amount of bureaucratic work will increase substantially. Even now, it takes hours to process all the necessary forms and blanks. Shall the doctors become government officials, the problem will obviously get worse as the flexible insurance – paid health care system will turn into a massive bureaucratic government-owned institution.

The fifth argument states that universal health care is likely to be much less efficient than the system that is already used in the US. In case there is no direct consumer for the good or service, its quality usually falls significantly. If the medical care is funded by the government, medical staff receives the same compensation regardless of the quality of their work. Material stimulation is one of the most powerful ones and universal health care actually lacks it. As long as the service is not directly paid for, the consumer might feel neglected. In case of the medical system that means that medical staff is likely to become much less serious about their job.

A number of economists argue that serious disproportions in the income redistribution might emerge. Some of the health services are extremely costly to perform. Everyone receiving similar health coverage is simply not fair. Some people work hard and pay taxes that eventually cover the health services. Others, however, remain idle or unemployed, generating no income for the state. These people will eventually get sick and receive adequate health services, making the rest pay for it.

Health insurance sector is an extremely important part of the entire US financial system. Insurance companies posses a significant share in the structure of investments. Health insurance makes up to 50% of all the operational volumes of some insurance giants, which generate billions of dollars in profits. Introduction of the universal health care will virtually eliminate this sector of the economy. Refusing from the general insurance coverage would mean refusing from billions of dollars in both profits and in potential investment. This would obviously hurt the financial sector of the country, which is already damaged by the global financial crisis.

And finally tax burden is very likely to increase dramatically. Introduction of the universal health care would mean spending at least trillion of US dollars. US debt is already the largest one in the world and the largest in history. In order to finance these spending, some taxes would need to be increased, which is likely to lower overall economic effectiveness.

All the grounds and warrants provided above are rather obvious to an educated person. Simple economic models and laws prove that universal health care is not necessarily a remedy. Monopoly power is almost always negative, and government control over the economy is seldom effective. In the years to come medical spending are expected to reach 20% of the GDP  and granting control over such an industry to the state, eliminating competition is rather dangerous.

Works Cited

“National Health Expenditures, Forecast summary and selected tables”, Office of the Actuary in the Centers for Medicare & Medicaid Services, 2008. Accessed June 9, 2009 from: http://www.cms.hhs.gov/NationalHealthExpendData/Downloads/proj2007.pdf

“Universal Health Care May Cost $1.5 Trillion” – FoxNews.com website. Published March 18, 2009. Accessed June 9, 2009 from: http://www.foxnews.com/politics/first100days/2009/03/18/universal-health-care-cost-trillion/

Lee, C. “Universal Health Coverage Attracts New Support” Washington Post. Accessed June 9, 2009 at: http://www.washingtonpost.com/wp-dyn/content/article/2007/01/21/AR2007012100878.html

Pibel, D. “Health Care: It’s What Ails Us” Yes magazine. Accessed June 9, 2009 at: http://www.yesmagazine.org/article.asp?ID=1498