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What Can the US Learn from the French Health Care System?
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What Can the US Learn from the French Health Care System?

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The French health care system places at or near the top in international rankings. It provides universal coverage at a significantly lower cost than the US system. This slideshow discusses possible …

The French health care system places at or near the top in international rankings. It provides universal coverage at a significantly lower cost than the US system. This slideshow discusses possible lessons that can be learned from a comparison of the two systems.

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  • 1. More Slides from Ed Dolan’s Econ Blog http://dolanecon.blogspot.com/ What Can the US Learn from the French Health Care System? Posted March 10, 2011 Terms of Use: These slides are made available under Creative Commons License Attribution—Share Alike 3.0 . You are free to use these slides as a resource for your economics classes together with whatever textbook you are using. If you like the slides, you may also want to take a look at my textbook, Introduction to Economics , from BVT Publishers.
  • 2. WHO Ranking of World Health Care
    • One of the most widely cited international rankings of health care systems was published by the World Health Organization in 2000*
    • France ranked No. 1, the US No. 37 of 190 countries covered
    • The ranking was based on a weighted average of measures of population health, distribution of health care, fairness of the financial burden, and efficiency
    Posted March 10, 2011 on Ed Dolan’s Econ Blog http://dolanecon.blogspot.com *For the full survey, see WHO, http://www.who.int/whr/en/ . A convenient summary of the main findings can be found at http://www.photius.com/rankings/healthranks.html
  • 3. Amenable Mortality
    • A less subjective method of ranking health care systems is based on amenable mortality rates
    • This amenable mortality ranking also placed France at the top and the United States at the Bottom
    Posted March 10, 2011 on Ed Dolan’s Econ Blog http://dolanecon.blogspot.com
  • 4. Coverage Choice in the French Health Care System
    • In addition to providing top-quality care, the French health care system combines universal coverage with a high degree of choice
    • Patients are free to choose their doctors, and for the most part, to visit specialists of their choice
    • Doctors are free to follow the course of treatment that they find most medically appropriate
    Posted March 10, 2011 on Ed Dolan’s Econ Blog http://dolanecon.blogspot.com A Hospital in Clermont-Ferrand, France Photo source: http://commons.wikimedia.org/wiki/File:Sabourin.jpg
  • 5. Health Care Costs as Share of GDP
    • The total cost of the French health care system was 11.2 percent of GDP as of 2008
    • That is substantially less than US health care cost, but was still second-highest among OECD countries by this measure
    Posted March 10, 2011 on Ed Dolan’s Econ Blog http://dolanecon.blogspot.com
  • 6. Health Care Costs in US Dollars per capita
    • The gap between US and French health care costs is even greater measured in US dollars per capita at purchasing power parity
    • France, ranking 11 th in the OECD, spends just half as much as the US, ranking 1 st
    Posted March 10, 2011 on Ed Dolan’s Econ Blog http://dolanecon.blogspot.com
  • 7. Reasons for Lower Health Care Costs in France
    • Lower administrative costs due to simpler payment structure
    • More aggressive bargaining with providers on the part of government
    • Out-of-court malpractice system similar to US worker’s compensation
    • Lower physician earnings (about 1/3 of US level), with lower earnings for doctors offset by
      • Free medical education
      • No malpractice insurance fees
    Posted March 10, 2011 on Ed Dolan’s Econ Blog http://dolanecon.blogspot.com How the US Health Care Dollar is Spent Source: Centers for Medicare and Medicaid Services
  • 8. The Bottom Line: What can We Learn from France?
    • The possibility of top-quality health care with universal coverage and a high degree of choice is a reality, not a utopia
    • France manages to provide such a system at lower total cost than in the United States
    • Although differences in doctors’ earnings and other factors might make it more expensive to run a French-style system in the US than in its home country, the French experience suggests that Americans are not getting their money’s worth from their health care dollars
    Posted March 10, 2011 on Ed Dolan’s Econ Blog http://dolanecon.blogspot.com