Compared to other countries, health care is more expensive here. We knew that. Health care expenditures per capita seem to be closely related to GDP per capita - so countries with more money spend more on health care - makes sense.
But that doesn't account for the discrepancy in the US. We pay more here for
" factors other than G.D.P. per capita. Prominent among these other factors are:
1. higher prices for the same health care goods and services than are paid in other countries for the same goods and services;
2. significantly higher administrative overhead costs than are incurred in other countries with simpler health-insurance systems;
3. more widespread use of high-cost, high-tech equipment and procedures than are used in other countries;
4. higher treatment costs triggered by our uniquely American tort laws, which in the context of medicine can lead to "defensive medicine" — that is, the application of tests and procedures mainly as a defense against possible malpractice litigation, rather than as a clinical imperative."Any real reform needs to address all those factors.