Unlock the Secrets of Health Spending: A Historical Review from Ancient Times to the 21st Century

Written by Thomas E. Getzen, Money and Medicine is a groundbreaking book that delves into the fascinating history of health spending, tracing its roots from ancient civilizations to the present day, and forecasting 21st-century trends.

A Unique Historical Perspective

While there are numerous histories of medicine, none have assessed the dynamics of health expenditures over decades and centuries. Economists have yet to address the magnitude of the transformation that occurred during the 20th century, as payments shifted from solo physician practices to health systems. Money and Medicine fills this gap, providing a unified narrative of medical spending from ancient Egypt and Babylonia to the present.

The Evolution of Medical Spending

Getzen’s meticulous research draws on a wealth of historical reports, data, and documents to concentrate on a single ratio: the share of income devoted to medical care. This reveals an S-shaped growth curve that rose rapidly after 1900, as science made therapies more effective and expensive, inflected as national health systems coalesced, and rates of expansion peaked in the 1960s, then decelerated after 1975.

International Trends and Insights

The book graphically illustrates international trends in 43 countries, supporting a parsimonious financial model. Significant lags are seen between medical innovation or macroeconomic shocks and the corresponding changes in national health expenditures. Getzen explains inertial responses to the 2008 financial crisis and Covid-19 recession, providing a method for projecting trends over the next 50 years.

Understanding Why Healthcare Spending is Higher in the US

Getzen sheds light on why healthcare spending is significantly higher in the United States compared to other countries, offering valuable insights into the complex factors driving this phenomenon.

In an era where rising healthcare costs and unequal distribution of medical care have created a sense of crisis in many countries, Money and Medicine shows that we must look beyond the last few years to craft sensible solutions. By understanding the historical context of health spending, we can develop more effective strategies for a sustainable future.

Product Details

Publisher: Oxford University Press

Publication Date: November 18, 2022

Language: English

Hardcover: 360 pages

ISBN-10: 0197573266

ISBN-13: 978-0197573266