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The Out-of-pocket Model

***Key concept outlined in bold

Overview

           "Only the developed, industrialized countries — perhaps 40 of the world’s 200 countries — have established health care systems. Most of the nations on the planet are too poor and too disorganized to provide any kind of mass medical care. The basic rule in such countries is that the rich get medical care; the poor stay sick or die. This is similar to how it is for the uninsured in the United States.

           In rural regions of Africa, India, China, and South America, hundreds of millions of people go their whole lives without ever seeing a doctor. They may have access, though, to a village healer using home-brewed remedies that may or not be effective against diseases.

           In the poor world, patients can sometimes scratch together enough money to pay a doctor bill; otherwise, they pay in potatoes or goat’s milk or child care or whatever else they may have to give. If they have nothing, they don’t get medical care."

Health Care Systems - Four Basic Model

Benefits

  1. People don’t need to pay for others’ healthcare, besides their own and their dependents

  2. Doesn’t require public management

  3. Businesses and practitioners have the freedom to charge any amount

  4. Service is often immediate if you can pay

Faults

  1. Decreased longevity of life compared to mass medical care systems

  2. Higher healthcare costs for all

  3. Varying prices across the board

  4. Unequal healthcare access and coverage

  5. Resources, facilities, and doctors are of limited supply and often unclean or less educated than in mass systems

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