Health Care Spending in OECD Countries: Obtaining Value per Dollar

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Abstract available at: http://content.healthaffairs.org/cgi/content/abstract/27/6/1718

In 2005, the U.S. spent $6,041 per capita on health care—more than double the median per capita spending ($2,922) of the 30 industrialized countries that form the Organization for Economic Cooperation and Development (OECD). In addition, the U.S. spent 15.3 percent of its gross domestic product (GDP) compared with the OCED median of 9.1 percent. Various U.S. government agencies—including the Congressional Budget Office—expect this percentage to continue to rise, with serious implications for the economy. To measure value for health care dollars spent, the researchers compared spending (based on per capita income) and life expectancy. Japan, for instance, has the highest life expectancy among OECD countries, yet spends less than predicted on health care. Spain and Italy also fall into that category. In contrast, the U.S. has higher-than-expected spending yet less-than-expected life expectancy. In addition, on 16 measures of quality collected by the OECD, the U.S. was as likely to be in the top half as in the bottom half of nations, indicating it is not receiving good value for money spent.

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Publication Details

Publication Date:
November 1, 2008
Authors:
Bianca Frogner, Gerard Anderson
Citation:

G. F. Anderson and B. K. Frogner, Health Spending in OECD Countries: Obtaining Value per Dollar, Health Affairs, November/December 2008 27(6):1718–27


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