Emerging Markets Learning from Americas Healthcare Mistakes

Published Date : Sep 29, 2015

Universal healthcare is going through a phase. The New York Times reported on last Thursday a full-page ad was published by The Rockefeller Foundation, announcing its support for 267 economists from across forty-four countries, who have been voicing that economically-efficient universal health coverage policies should be drafted in no time. The declaration found support from many famous signatories, among whom was Larry Summers the former Treasury Secretary, who also wrote in Financial Times op-ed, that providing universal health coverage could surpass the expenses by a factor of ten.  

Relatively poor economies are exhibiting a healthy pace of delivering basic healthcare to their citizens. According to the latest reports, countries such as Indonesia, that has a GDP of roughly US$3,500 per capita vs the US$53,000 per capita of the United States, have already launched ambitious strategies to achieve universal coverage by the end of 2019. Likewise, the middle-income countries such as Saudi Arabia, Costa Rica, and Brazil already have universal health coverage for their citizens. 

The U.S., who has remained at the forefront of economic development, against the backdrop of universal health coverage seemed laggard compared the emerging economies. Despite the impressive success of Obamacare in reducing the number of Americans without health coverage, 10.4% of the country’s people that roughly adds up to 33 million people, still remains uninsured. With the rise in healthcare costs has significantly reduced in the recent years, the United States government is projected to spend 20% of its GDP on healthcare developments by 2024. 

The latest studies have revealed that rising healthcare costs is one of the biggest obstacles to the success of entrepreneurs in the country. As a result, this impacts the availability of healthcare sponsored by the government in the U.S. While Obamacare reforms may have triggered some strides in the country’s healthcare sector, but small accidents in the country’s historical past will make a big impact on the evolution of the U.S. healthcare industry.