Running Head: LONG TERM CARE 1

Economic Issues in Healthcare Industry

Name

Institution
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Factors Making Long-Term Care More Unique

The nature of services and their outcome is a factor to Consider when comparing

uniqueness between the long-term care and a hospital. While a hospital Concentrate more on

giving the victims of chronic diseases medical attention so as to improve the health of a patient,

in long-term care system, you will see a design meant to provide more than health care since it

incorporates other services so that make sure that the victims’ well-being is attained both health

wise and socially. Doctors in hospital want to prescribe curative drugs to these ailing men and

women as the main objective but in long-term care, everyone is open to offer a helping hand. In

this way, you find out that the patient will get better in both social life and health. Provision of a

holistic and an integrated service is made the main goal of long-term care. A flexible service that

covers a lot Concerning mechanisms that facilitate the way both acute care and preventive is

presented in a clearly defined system which is not the case for a hospital thus making long-term

care more unique (Colander, et al 2017).

Cost of operation again becomes an important factor to Consider when comparing

uniqueness between the long-term care and a hospital. This is because there is a huge difference

in the monetary efforts applied in both cases. In a long-term care model, less money is input

because all the types of long-term care namely informal, institutional and community care work

together freely and harmonically in taking care of their disabled or patients whom they take as

brothers and sisters while in a hospital, only the medical practitioners in that health center are

entitled to this task because they are paid for it by patient. For example, in community care there

will be services like hospice care, home health care and adult day care and the patient are fed,

washed using public funds. In 1996, over seven and half million people were discharged for

community care according to the NHH survey. Even the Medicare per diems rates for the year
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1997 can give the differences in my argument. Home care which is long-term care spent about

ninety-four dollars while the hospital-based care spent about four hundred and nineteen dollars

as Medicare per Diem (Dickman, et al 2017).

Certification of Need

This is a legislation organ that retrains health facility prices and coordinates plans for new

services and facility building. CON laws were created to be part of governments’ "Health

Planning Resources Development Act" of 1974 and there have been amendments since then.

Many states that have implemented this law have had a growth in the Medicaid and

Medicare services in the health sector. This is because of resultant permanent effects on quality

and pricing. CON hinders entry and decline competition in this sector. Hence altering how the

economic decision is made in both long-term car4e and hospital-based care. The effects are more

positive for long-term care than the hospital because of strict qualifications set by CON (Paul, et

al 2017).

Future of Long Term Care Industry

It is a difficult task to draw the image of future supply and demand for long-term care

industry after twenty-five years because estimation of the numbers involved is also very hard.

For over time we have had estimates from CBO. For example, they have given us a prevalence

rate for disabled persons aged 65 years and more showing a significant decline in trend from the

year 2000 with twenty-four percent to seventeen percent in 2030 and fifteen percent in 2040.

However, it is important to note the actual figures which are enormous despite the decrease

indicated in the percentages. These numbers are eighty point eight million in 2000 over thirty-

five million citizens, then twelve point two million in 2030 over seventy-one million citizens and
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lastly, twelve point one million over seventy-seven million citizens which surprisingly show an

increase (Dickman, et al 2017).

Therefore decision making must put into Consideration effects of population increase. It

should also cater for prospective changes in lifestyle, healthcare, medical treatment and diagnosis

and behavior patterns. Future victims of chronic diseases and the elderly are believed will be

more learned and health Conscious. But something that seems to prevail in future and must be

included in every decision made is that the overall supply and demand for long-term care will

always rise due to huge increment in a population of elderly (Colander, et al 2017).

Us Government Should Care For Elderly

This is because the population is affected by individuals’ economic power and

households and the civic importance they have in their society. Middle-class old men aged 65 are

prone to limited access to healthy diets, poorly built environment, health care, and school

systems. These social class need financial support to the middle-class citizen to cover for their

long-term care. Although the Wealthy families will afford high healthy life for their elderly, the

U.S. government should not ignore to check on them regularly.

For example, Sixty-two percent of 1500 American citizens are complaining their

government is not doing enough to care for the suffering middle class and the poor people. They

see it helps the wealthier class instead causing an occurrence of mixed reactions. This is in

accordance to report from Pew research center on December 2015 but little has changed since

2011 (Dickman, et al 2017).

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References

Colander, D. (2017). Reforming the Affordable Care Act. Eastern Economic Journal, 43(1), 173-

179.

Dickman, S. L., Himmelstein, D. U., & Woolhandler, S. (2017). Inequality and the health-care

system in the USA. The Lancet, 389(10077), 1431-1441.

Paul, J. A., Ni, H., & Bagchi, A. (2017). Does certificate of need law enhance competition in

inpatient care market? An empirical analysis. Health Economics, Policy and Law, 1-21.