Tuesday, April 27, 2004

Health Care Crisis, or not?

On average one quarter of all health care costs occur in the last year of our lives (we've known this for a long time).

Now for the interesting bit: This cost decreases as we get older.
If I had to guess, then I suppose less money is spent on intervention the older you are. Also young people that are in the last year of their life are more likely to have a chronic suffering which would require expensive intervention thus bumping up the overall average expense in the last year. Although I guess a larger proportion of young people die in 'accidents' which would bring this figure down (I don't know the break down).

Anyway the conclusion is that we can not simple say "People live longer so we will have a health care crisis".

Of course this doesn't account for non-health care costs such as pensions. I've already accepted I'll be working till I'm 75. The retirement age of 65 with a pension thereafter was created in a world where life expectancy was less than 65. These days when people finish study at 25, get a job for 30 years then expect to live a taxpayer funded holiday for 30 years is quite unrealistic.

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