The cost of providing healthcare must be reduced and soon. For example, in 2015, $35 billion was spent by the U.S. on foreign aid in all its forms. But Medicare, Medicaid, and HHS spent nearly $980 billion. “In addition to these direct outlays, various tax provisions for health care create tax expenditures that total nearly $260 billion.” On top of that, much of Medicaid is paid by the states.
Drug cost is not the problem at all, trivial in fact, compared to the benefits of drugs including cost containment.
The overall administrative cost of compliance with all the regulations and laws at state, city, county and federal levels is the BIG problem that must be resolved and reduced. Expenses directly correlate to the number of transactions administered.
Now look at this chart of Obamacare’s complexity. The number of transactions implied by this chart is a exponential equation for growth of healthcare cost. This implies a rapid bankrupt/crash of the entire U.S. followed shortly by most other nations if Obamacare is not repealed soon and free market capitalistic competition is not implemented across all state lines. In the second graph, the U.S. Government Accounting Office (GAO) calculates that entitlement spending alone will exceed all tax revenue sometime between 2030 and 2040.