INSTRUCTION Click here http://vizedhtmlcontent.next.ecollege.com/pub/content/3c1908050bf6-4c9c-a78d-41791cca30a3/SU_HCM3002_W1_A3.pdf to view and study the NHE data for selected calendar years between 1970 and 2003 and for selected service categories (with the exception of the catch-all category of other) (Centers for Medicare & Medicaid Services [CMS], n.d.). Answer the following questions in a 2- to 3-page Microsoft Word document: SUPPLY APA STYLE OF REFERENCES 1. Examine the trends in expenditures for the service categories presented in the table. What is the magnitude and direction of spending changes within and across each of these categories: the percentage of GDP spent on NHE and the NHE per capita. 2. What can you say about how the price of medical care services changes? As you think about what you might say, realize that the figures have been adjusted for inflation. Also, assume that not all increases in healthcare costs are caused by increases in utilization. 3.Examine the rates of growth in the service categories (except the category other). What trends do you see in the mix of healthcare services used by the US public? What factors might contribute to these trends? Trends in Healthcare Services Part 1 You are a member of a presidential commission appointed to consider a mandatory national health insurance plan and the question of how to fund the plan is being discussed. Specifically, three separate options are being considered to generate an average of $4,000 per workera flat mandatory premium, a doubling of the current 7.65% payroll tax that comes out of people’s pay to cover social security and Medicare, and a 7% increase in income tax. Think about funding plans from the perspective of three workers: One who makes $25,000 per year One who makes the same in salary but also has $1,000 in investment income One who makes $85,000 per year, including $10,000 in investment income Based on the above scenario, answer the following questions: ANSWER THE FOLLOWING QUESTIONS WITH APA REFERENCES 1. Which of the three funding measures, considering the relative financial contributions it imposes on individuals such as these, would you support and why? 2. How has the emergence of different types of health insurance plansFFS, health maintenance organizations (HMOs), preferred provider organizations (PPOs), and capitationaffected the trends in healthcare services today? 3. What economic and societal factors affect the demand and pricing of healthcare services in today’s health insurance market? PART 2 Healthcare IndustryAn Economic System The National Health Expenditure Accounts (NHEA) estimates health care spending over time, including everything from health care goods and services to public health activities, government administration to health care investment. For this assignment, we will focus on health spending by major sources of funds. Please see below for a summary: Medicare: Medicare spending, which represented 20 percent of national health spending in 2012, grew 4.8 percent to $572.5 billion, a slight slowdown from growth of 5.0 percent in 2011. A one-time payment reduction to skilled nursing facilities in 2012, after a large increase in payments in 2011 due to implementation of a new payment system contributed to the slower growth. Medicaid: Total Medicaid spending grew 3.3 percent in 2012 to $421.2 billion, an acceleration from 2.4-percent growth in 2011. The relatively low annual rates of growth in Medicaid spending in 2011 and 2012 can be explained in part by slower enrollment growth tied to improved economic conditions and efforts by states to control health care costs. Federal Medicaid expenditures decreased 4.2 percent in 2012, while state and local Medicaid expenditures grew 15.0 percenta result of the expiration of enhanced federal aid to states in the middle of 2011. Private Health Insurance: Overall, premiums reached $917.0 billion in 2012, and increased 3.2 percent, near the 3.4 percent growth in 2011. The net cost ratio for private health insurance the difference between premiums and benefits as a share of premiums was 12.0 percent in 2012 compared with 12.4 percent in 2011. Private health insurance enrollment increased 0.4 percent to 188.0 million in 2012, but still 9.4 million lower than in 2007. Out-of-Pocket: Out-of-pocket spending grew 3.8 percent in 2012 to $328.2 billion, an acceleration from growth of 3.5 percent in 2011, reflecting higher cost-sharing and increased enrollment in consumer-directed health plans. Download the National Health Expenditures [NHE] by type of service and source of funds, NHE2012.zip file. (FILE WILL BE SENT TO YOU ) Summarize in a table the total NHE (in millions) for the following years: 1960, 1970, 1980, 1990, 2000, 2010. Present the data visually by creating a line graph or a bar diagram depicting changes in values. Comment on the changes in the categories of expenditure sources, i.e., out-of-pocket, health insurance, third party payers, etc. with respect to both year-to-year changes and across the entire period. Include specific interpretations of why such changes are apparent [social, political, economic, etc. factors] and what strategies may be necessary to curb healthcare expenditure in the coming years.; Support your responses with examples. Cite any sources in APA format.
