Question

Which statement is not a reason why the United States, which relies heavily on private health insurance, has higher health care costs than nations that rely on a system of national health insurance?

a. American health care workers have more human capital than health care workers in other nations and therefore require higher compensation than their counterparts in other countries.

b. Unlike other countries, there is little or no wait for most diagnostic procedures or surgeries in the United States. Waiting is a method by which capital expenditure can be restricted in countries with national health care systems.

c. In countries with national health care systems, there is often a cap on the amount of money that the government pays for treatment. These caps are rarer in the United States.

d. Insurance in the United States is regulated by state governments rather than the national government. State regulators have political motivation to increase coverage rather than introduce cost saving measures, which leads to higher insurance premiums.

Answer 1

Answer is (c) " in countries with national health care systems, there is often a cap on the amount of money that the goverment pays for treatment. These caps are rarer in US"

It is a positive trait for a country where the goverment helps public by paying some amount of money for the treatment. Having no caps on what percentage the goverment pays, can never add on to high health care costs in US. RAther it reduces cost of treatments as people have to pay small percentage of the treatment. Rest is paid by goverment.

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