I agree that cost sharing (i.e. covering expenses of uninsured care) and malpractice are significant contributors to rising costs. However, there are several others that are probably more expensive.
1) Technology. This is the one area where technology actually increases the cost of care dramatically. That is because there is no cost differential for using older technology. For example, you can buy a 27" LCD TV today for half the cost of that TV 6 years ago as today's expensive TVs are much larger with more features. However, you cannot get a less expensive CT scan with an older 32-slice scanner instead of the more expensive 64-slice machines because the older machines are rapidly replaced by new designs. In addition, we are use more technology to make diagnoses for conditions that were once diagnosed with physical exam or simple tests. This is manifest by the 10X increase in the used of CT and MRI over the past decade.
2) Prescription Drugs. Pharmaceutical companies have done a great job marketing new drug. On the other hand, Americans do a poor job of using less expensive generic drugs that effectively treat the same conditions.
3) Aging Population. The baby boomers are aging and entering the stage of life where parts wear out. This increase in demand results in higher costs.


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