Money can buy health but it may not be affordable

It is said that “Money cannot buy happiness.” But ask anyone who does not have it and you will find that money can buy security and freedom from many fears and aggravations. There are no guarantees, but the odds are better with resources than without them. Nations with higher per capita gross domestic product have longer life expectancies, have more freedom, and offer more opportunities for the favored subsets of their populations. The adage is that a rising tide lifts all boats.

It is also said that “Money cannot buy health.” That is also a half lie. Again, there is no guarantee that money can cure what ails you. But over the past 4 decades, modern medical care has added on average 3 years to the average American’s life expectancy. These gains in life expectancy came at a steep cost. The United States has been paying a luxurious, premium price for health care compared with similarly developed nations. When I started my career studying health economics 40 years ago, U.S. health care had increased from 6% of the gross domestic product, was passing 9%, and per my professors, appeared headed for 12% – at which point the predictions were that the sky would start falling. Costs continued to rise and for the past decade about 17% of the U.S. GDP has been going to health care before the pandemic blip.

U.S. life expectancy in the past 150 years nearly doubled. This was primarily due to public health measures rather than the small contributions of medical care for individuals. Life expectancy has mostly risen by reducing infant mortality and childhood mortality. The civil engineers who figured out how to get clean running water into cities and sewage out without the two intermingling have saved far more lives than all the doctors graduating from the medical schools. Better nutrition, better sanitation, vaccines, and, to a smaller extent, antibiotics, have all contributed worthy but lesser effects.

When it comes to individual behavior rather than public health measures, the biggest effect comes from advice physicians have been doling out for decades: Stop smoking, exercise, wear your seatbelt, and do not drink and drive. Over the past generation, medical technology added an incremental improvement to the life span (life expectancy once you attain age 60). This has occurred in cardiovascular health by treating high blood pressure, reducing stroke risk, and lowering hemoglobin A_1c. Those measures added about 3 years to life span before the obesity epidemic, the opioid epidemic, and the COVID pandemic wiped out the gains. In round numbers, the price for those 3 extra years of life was about the earnings of working an extra 1-2 years in a lifetime. To share those benefits with everyone, the working stiff has to postpone retirement and work an extra 3 years.

Most recently, modern medicine has produced some very expensive therapies that can add months or years to the lives of people with certain diseases. These therapies may involve over $100,000 worth of marginally beneficial medication that statistically adds a few months to the lives of people with certain varieties of prostate, lung, and breast cancers. Similarly, treatments for chronic disease such as AIDS and cystic fibrosis may involve ongoing medication costs of $10,000 or $20,000 or more per year every year for a lifetime. There are even more extreme examples on the horizon. CAR T-cells and Aduhelm [aducanumab] have the potential to break the Medicare bank. Kaftrio [ivacaftor/tezacaftor/elexacaftor], for cystic fibrosis, is being offered only to wealthier countries.

Medical expenses are hard to analyze because the cited “cost” of many of these medications is like a manufacturer’s suggested retail price that few are actually paying. I am a highly educated consumer, and a physician, but various policies at insurance companies and at national chain pharmacies make it impossible for me to comparison shop for lower prices on my personal medicines. It is not just medications. Over the past 15 years, I have noticed that the “cost” charged for routine lab tests I get have also increased to be 300%-900% higher than what the lab ultimately gets paid by my insurance. It is a farce, and I am chagrined to have been a part of the medical system (managed care organizations, pharmacies, hospitals, and government) that concocted this Frankenstein’s monster of health care payments.

Communicating these issues to a polarized public will require leadership. It will also require better speech writing than the distorted story President Biden used to discuss insulin prices during the State of the Union address. The expensive insulin analogues in common use for diabetes are not the same insulin that was discovered a century ago. The newer medications do provide extra benefits. Assigning a fair value to those benefits is the real issue.

Dr. Powell is a retired pediatric hospitalist and clinical ethics consultant living in St. Louis. Email him at [email protected].

It is said that “Money cannot buy happiness.” But ask anyone who does not have it and you will find that money can buy security and freedom from many fears and aggravations. There are no guarantees, but the odds are better with resources than without them. Nations with higher per capita gross domestic product have longer life expectancies, have more freedom, and offer more opportunities for the favored subsets of their populations. The adage is that a rising tide lifts all boats.

It is also said that “Money cannot buy health.” That is also a half lie. Again, there is no guarantee that money can cure what ails you. But over the past 4 decades, modern medical care has added on average 3 years to the average American’s life expectancy. These gains in life expectancy came at a steep cost. The United States has been paying a luxurious, premium price for health care compared with similarly developed nations. When I started my career studying health economics 40 years ago, U.S. health care had increased from 6% of the gross domestic product, was passing 9%, and per my professors, appeared headed for 12% – at which point the predictions were that the sky would start falling. Costs continued to rise and for the past decade about 17% of the U.S. GDP has been going to health care before the pandemic blip.

U.S. life expectancy in the past 150 years nearly doubled. This was primarily due to public health measures rather than the small contributions of medical care for individuals. Life expectancy has mostly risen by reducing infant mortality and childhood mortality. The civil engineers who figured out how to get clean running water into cities and sewage out without the two intermingling have saved far more lives than all the doctors graduating from the medical schools. Better nutrition, better sanitation, vaccines, and, to a smaller extent, antibiotics, have all contributed worthy but lesser effects.

When it comes to individual behavior rather than public health measures, the biggest effect comes from advice physicians have been doling out for decades: Stop smoking, exercise, wear your seatbelt, and do not drink and drive. Over the past generation, medical technology added an incremental improvement to the life span (life expectancy once you attain age 60). This has occurred in cardiovascular health by treating high blood pressure, reducing stroke risk, and lowering hemoglobin A_1c. Those measures added about 3 years to life span before the obesity epidemic, the opioid epidemic, and the COVID pandemic wiped out the gains. In round numbers, the price for those 3 extra years of life was about the earnings of working an extra 1-2 years in a lifetime. To share those benefits with everyone, the working stiff has to postpone retirement and work an extra 3 years.

Most recently, modern medicine has produced some very expensive therapies that can add months or years to the lives of people with certain diseases. These therapies may involve over $100,000 worth of marginally beneficial medication that statistically adds a few months to the lives of people with certain varieties of prostate, lung, and breast cancers. Similarly, treatments for chronic disease such as AIDS and cystic fibrosis may involve ongoing medication costs of $10,000 or $20,000 or more per year every year for a lifetime. There are even more extreme examples on the horizon. CAR T-cells and Aduhelm [aducanumab] have the potential to break the Medicare bank. Kaftrio [ivacaftor/tezacaftor/elexacaftor], for cystic fibrosis, is being offered only to wealthier countries.

Medical expenses are hard to analyze because the cited “cost” of many of these medications is like a manufacturer’s suggested retail price that few are actually paying. I am a highly educated consumer, and a physician, but various policies at insurance companies and at national chain pharmacies make it impossible for me to comparison shop for lower prices on my personal medicines. It is not just medications. Over the past 15 years, I have noticed that the “cost” charged for routine lab tests I get have also increased to be 300%-900% higher than what the lab ultimately gets paid by my insurance. It is a farce, and I am chagrined to have been a part of the medical system (managed care organizations, pharmacies, hospitals, and government) that concocted this Frankenstein’s monster of health care payments.

Communicating these issues to a polarized public will require leadership. It will also require better speech writing than the distorted story President Biden used to discuss insulin prices during the State of the Union address. The expensive insulin analogues in common use for diabetes are not the same insulin that was discovered a century ago. The newer medications do provide extra benefits. Assigning a fair value to those benefits is the real issue.

Dr. Powell is a retired pediatric hospitalist and clinical ethics consultant living in St. Louis. Email him at [email protected].

It is said that “Money cannot buy happiness.” But ask anyone who does not have it and you will find that money can buy security and freedom from many fears and aggravations. There are no guarantees, but the odds are better with resources than without them. Nations with higher per capita gross domestic product have longer life expectancies, have more freedom, and offer more opportunities for the favored subsets of their populations. The adage is that a rising tide lifts all boats.

It is also said that “Money cannot buy health.” That is also a half lie. Again, there is no guarantee that money can cure what ails you. But over the past 4 decades, modern medical care has added on average 3 years to the average American’s life expectancy. These gains in life expectancy came at a steep cost. The United States has been paying a luxurious, premium price for health care compared with similarly developed nations. When I started my career studying health economics 40 years ago, U.S. health care had increased from 6% of the gross domestic product, was passing 9%, and per my professors, appeared headed for 12% – at which point the predictions were that the sky would start falling. Costs continued to rise and for the past decade about 17% of the U.S. GDP has been going to health care before the pandemic blip.

U.S. life expectancy in the past 150 years nearly doubled. This was primarily due to public health measures rather than the small contributions of medical care for individuals. Life expectancy has mostly risen by reducing infant mortality and childhood mortality. The civil engineers who figured out how to get clean running water into cities and sewage out without the two intermingling have saved far more lives than all the doctors graduating from the medical schools. Better nutrition, better sanitation, vaccines, and, to a smaller extent, antibiotics, have all contributed worthy but lesser effects.

When it comes to individual behavior rather than public health measures, the biggest effect comes from advice physicians have been doling out for decades: Stop smoking, exercise, wear your seatbelt, and do not drink and drive. Over the past generation, medical technology added an incremental improvement to the life span (life expectancy once you attain age 60). This has occurred in cardiovascular health by treating high blood pressure, reducing stroke risk, and lowering hemoglobin A_1c. Those measures added about 3 years to life span before the obesity epidemic, the opioid epidemic, and the COVID pandemic wiped out the gains. In round numbers, the price for those 3 extra years of life was about the earnings of working an extra 1-2 years in a lifetime. To share those benefits with everyone, the working stiff has to postpone retirement and work an extra 3 years.

Most recently, modern medicine has produced some very expensive therapies that can add months or years to the lives of people with certain diseases. These therapies may involve over $100,000 worth of marginally beneficial medication that statistically adds a few months to the lives of people with certain varieties of prostate, lung, and breast cancers. Similarly, treatments for chronic disease such as AIDS and cystic fibrosis may involve ongoing medication costs of $10,000 or $20,000 or more per year every year for a lifetime. There are even more extreme examples on the horizon. CAR T-cells and Aduhelm [aducanumab] have the potential to break the Medicare bank. Kaftrio [ivacaftor/tezacaftor/elexacaftor], for cystic fibrosis, is being offered only to wealthier countries.

Medical expenses are hard to analyze because the cited “cost” of many of these medications is like a manufacturer’s suggested retail price that few are actually paying. I am a highly educated consumer, and a physician, but various policies at insurance companies and at national chain pharmacies make it impossible for me to comparison shop for lower prices on my personal medicines. It is not just medications. Over the past 15 years, I have noticed that the “cost” charged for routine lab tests I get have also increased to be 300%-900% higher than what the lab ultimately gets paid by my insurance. It is a farce, and I am chagrined to have been a part of the medical system (managed care organizations, pharmacies, hospitals, and government) that concocted this Frankenstein’s monster of health care payments.

Communicating these issues to a polarized public will require leadership. It will also require better speech writing than the distorted story President Biden used to discuss insulin prices during the State of the Union address. The expensive insulin analogues in common use for diabetes are not the same insulin that was discovered a century ago. The newer medications do provide extra benefits. Assigning a fair value to those benefits is the real issue.

Dr. Powell is a retired pediatric hospitalist and clinical ethics consultant living in St. Louis. Email him at [email protected].