Hong Kong Healthcare System Makes US System Look Like Third World Nightmare
As noted in new book Falling Eagle – Rising Tigers, there have been many comments and arguments against the Patient Protection and Affordable Care Act (PPACA), also known as Obamacare, but when compared to Hong Kong’s health care system, the implications of Obamacare are even more atrocious.
Obamacare was a massive bill that significantly changes healthcare in the US. It does not add a single doctor to the US healthcare system and its costs are astronomical. The program was very unpopular because it was pushed by one party (the Democrats) without even attempting to address the concerns of the people let alone those of Republicans. Eventually it was passed in Congress without a single Republican vote and the 2nd tag along bill never was passed in the Senate by the 60 member vote necessary for such legislation.
In On the other side of the globe, the Hong Kong healthcare system is not free but public subsidies cover around 95% of care costs and virtually all in-patient care costs. Most of Hong Kong’s in-patient admissions are in public hospitals while the vast majority of outpatient consultations are provided by private doctors.
The US, with a population of around 310 million, spent $408 billion on Medicare in 2012 and $246 billion on Medicaid, or $2,100 per capita on public healthcare for just Medicare and Medicaid alone. Hong Kong has a population of around 7 million and set aside a budget for public healthcare spending of $5.8 billion in 2013. Based on these numbers, Hong Kong’s costs are only $800 per capita on public healthcare. The US therefore spends more than 2.5 times or 250% on public healthcare per capita than does Hong Kong and this amount is an understatement as the public healthcare in this measure only includes the costs for Medicare and Medicaid in the US and not Obamacare and other US federal, state and local government healthcare programs – and Hong Kong’s public healthcare is virtually free to the individual!
Hong Kong has been working on a health program, called the HPS, to deal with rising medical costs. Obamacare and the Hong Kong HPS are totally different. With Obamacare the law requires US insurance companies to create healthcare premium rate scales where the premiums on older members cannot exceed three times the lowest premium rates in the plan. Obamacare encourages insurance companies to charge more to younger members in order to pay for the reduction in premiums on the elderly, and then mandates that younger individuals obtain healthcare coverage or pay a fine (tax) to the government. The HPS is voluntary for insurance companies and individuals alike, no mandates are necessary and fines are not assessed on individuals who decide they don’t want to pay for health insurance at the current time.
Obamacare is bad, and when compared to Hong Kong, it is even more clear to see.
For more information on Obamacare and the challenges for the American people get my book Falling Eagle – Rising Tigers.
See www.joehoft.com for information about the author and how to order your own copy of Falling Eagle – Rising Tigers.