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A Crisis Defined

Originally Published MX September/October 2005


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Demonstrating Value to Payers

The U.S. healthcare system has been in critical condition for some years now. The crisis, noted by many, surrounds issues of cost, access, and quality.

Rising Costs. Healthcare provided in the United States is the most costly in the world, and its costs are rising rapidly. In 2003, the U.S. spent $1.7 trillion on healthcare, more than 15% of the federal budget.1 That was about $5800 per capita, more than twice what the nations of Western Europe and Canada have been spending. Over the next 10 years, Medicare alone is expected to grow to consume 20% of the budget--and that doesn't include private healthcare spending or other government programs such as Medicaid.2

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