Healthcare Spending and Its Impact on the U.S. Economy

Filip Blazheski and Nathaniel Karp

Systemic inefficiencies explain the high level of healthcare spending in the United States where the share of overhead costs is significantly higher than in other developed countries. Despite the U.S. spending significantly more compared to other countries in the Organization for Economic Co-operation and Development, the health status of the population remains below the average. These trends highlight a mammoth opportunity cost for the economy.