Highmesa
06-25-2007, 10:27 PM
I was playing around with the US Census Bureau Statistical Abstract (http://www.census.gov/compendia/statab/hist_stats.html) tonight.
I ran up some numbers on healthcare costs. These are especially helpful when debating the tools that want a single payer socialist system. I posted a chart here: Historical US Per Capita Healthcare Spending (http://www.highmesa.us/US%20Healthcare%20Costs.pdf)
These numbers are the average costs per person in real 2001 dollars (chained). i.e. it has been corrected to remove the effect of inflation.
A couple data points warrant mentioning:
- In 1929 (first available year) that average person spent $263 on healthcare.
- In 1945, when FDR had frozen wages during WWII and companies started offering a health insurance benefit, the average person spent $386 per year. During the period from 1929 to 1945, costs increased by $7.68 per person per year. This is a significant point, as it is when most people were given "free" healthcare coverage through their company benefits plan. This fact alone would have started to increase usage.
- In 1964, When LBJ signed the first Medicare Act, the average person spent $947. From 1945 to 1964, costs increased by $29.52 per person per year. This was the official point when the government got in the game and started (mis)managing the healthcare system.
- In 2001 (last year available) the averge person spent $4,450. From 1964 to 2001, costs increased by $94.67 per person per year. You can see from the graph this is not a linear increase, and is actually accelerating.
Remember monetary inflation has been removed so these are REAL spending increases. Since healthcare costs are part of the CPI, these increases are probably understated. This shows what a horrible impact the government has had on our healthcare system, and gives a preview of what we can expect if they totally take it over.
An interesting stat pulled right off the abstract is that in 1929, people spent 4% of their total consumption on healthcare. in 1945, it was 4.3%. In 1964 it was 7.7%. and finally, in 2001 it was up to 18.2%
I'd appreciate any comments and criticism to refine this argument.
I'll address education next. I have some data on that already on my work laptop. I'll try to remember to forward it home tomorrow.
I ran up some numbers on healthcare costs. These are especially helpful when debating the tools that want a single payer socialist system. I posted a chart here: Historical US Per Capita Healthcare Spending (http://www.highmesa.us/US%20Healthcare%20Costs.pdf)
These numbers are the average costs per person in real 2001 dollars (chained). i.e. it has been corrected to remove the effect of inflation.
A couple data points warrant mentioning:
- In 1929 (first available year) that average person spent $263 on healthcare.
- In 1945, when FDR had frozen wages during WWII and companies started offering a health insurance benefit, the average person spent $386 per year. During the period from 1929 to 1945, costs increased by $7.68 per person per year. This is a significant point, as it is when most people were given "free" healthcare coverage through their company benefits plan. This fact alone would have started to increase usage.
- In 1964, When LBJ signed the first Medicare Act, the average person spent $947. From 1945 to 1964, costs increased by $29.52 per person per year. This was the official point when the government got in the game and started (mis)managing the healthcare system.
- In 2001 (last year available) the averge person spent $4,450. From 1964 to 2001, costs increased by $94.67 per person per year. You can see from the graph this is not a linear increase, and is actually accelerating.
Remember monetary inflation has been removed so these are REAL spending increases. Since healthcare costs are part of the CPI, these increases are probably understated. This shows what a horrible impact the government has had on our healthcare system, and gives a preview of what we can expect if they totally take it over.
An interesting stat pulled right off the abstract is that in 1929, people spent 4% of their total consumption on healthcare. in 1945, it was 4.3%. In 1964 it was 7.7%. and finally, in 2001 it was up to 18.2%
I'd appreciate any comments and criticism to refine this argument.
I'll address education next. I have some data on that already on my work laptop. I'll try to remember to forward it home tomorrow.