Question

Evaluate the correlation between the increases in GDP of health expenditures and the creation of Medicare and Medicaid. Additionally, expound upon the massive amounts of healthcare spending in the US compared to other countries, especially for persons over the age of 60.

Answer 1

GDP define the positive change in the developing country, which shows that there is the increase in amount of productivity. That production will bring the jobs and income for their citizens. Hence higher income will make possible to spend higher to increase the lifestyle.

There is the one factor that we should consider that increase in GDP does not bring the equality in between citizens. So there is major contribution in GDP hike from rich peoples and capitalist in economy. Increase in GDP means spending on Medical services increasing hence the facilities provided to serve the peoples through hospitals are growing. So it is the direct link in between GDP Increase and expenditure for creation of medical services.

In Worldwide, every country has its unique economic, political and social attributes for spending. Healthcare sector is the one of the sector linked with wealth of country. Richer country will able to spend more in comparison to other. For example US is spending double amount for per person in comparison to other countries i.e. $10000 while other are spending around $5000.

Here is the Data for Healthcare expenditure:-

United States	$10,224
Sweden	$5,511
Austria	$5,440
Netherlands	$5,386
Comparable Country Average	$5,280