Sign Up for Email Alerts Visit us on Twitter Visit us on Facebook Visit us on YouTube Subscribe to RSS Feeds

Home > In The Spotlight

In The Spotlight

Change Text Size:   Smaller Text Size   Larger Text Size   Default Text Size    

Issue Brief -- Cost Drivers in Health Care

Almost two dozen factors are contributing to the high cost of health care, according to a new issue brief from the Alliance. To download, click here.

Drafted by Jack Ebeler of Health Policy Alternatives and supported by a grant from Eli Lilly, the four-page publication divides the drivers into three groups: national demographic and economic factors, determinants of the health of individuals and societies, and health system factors.

Among the demographic and economic factors, the paper notes that as a country’s national per capita income goes up, so does per capital health spending. Similarly, the mix of diseases in a population and the relative health of the population can produce marked differences in health spending from one country to the next.

Factors determining the health of individuals and societies can make a big difference in health spending the paper reminds us. It’s well known that a person’s diet and exercise level can affect the person’s health. But the person’s surroundings matter too. Exposure to contagious disease, toxic hazards, a dangerous working environment and violence can drive up health costs. In addition, women and men have differing health care experiences over a lifetime – differences that can affect costs.

The bulk of the cost drivers cited in the issue brief fit under the "health system factors" umbrella. These include the supply of health care providers (the greater the supply, the greater the spending). Consolidation among providers dampens competition and can cause price increases. Our present fragmented health care delivery system leads to inefficient care and duplication of services, the paper notes.


Toolkit: Emergency Preparedness in the U.S.: The Ebola Threat

Is the U.S. prepared for a potential virulent pandemic? This new Alliance toolkit examines public health infrastructure, funding and policy levers that deal with these kinds of health crises in America.

Read More 

Mike Leavitt Video: Consolidation and Control-The Evolving Health Care System

Mike Leavitt, chairman of Leavitt Partners and former HHS secretary, addresses the aggressive repositioning of players in the evolving health care system in a new Alliance for Health Reform video.

Read More 

Copyright 1997-2015 Alliance for Health Reform
1444 Eye Street, NW, Suite 910 Washington, DC 20005-6573      202-789-2300      202-789-2233 fax      Sitemap