The last two reforms go hand-in-hand: end-of-life counseling and review panels for Medicare/Medicaid. The first of those is not controversial where it’s understood properly. And the facts back it up. “Researcher found that these conversations between patients and physicians led to fewer cases of aggressive care, which saved money and resulted in a far more peaceful death for patients” (Radulovic, 2009). Such conversations save Medicare about $2,300 per beneficiary. In fact, should 50 percent of people have end-of-life discussions with their doctors, a single year could reduce costs $76 million. “Seventy percent of people request no life-sustaining treatments for themselves when they are dying, and 89 percent desire living wills and other advance directives. Yet only 9 percent have such directives” (Fries et al., 1993). Half of the population dies in hospitals in America, yet 70 percent want to die at home (Thomas, 2009). End-of-life counseling could help get what the patient wants, while reducing costs. It’s a win-win situation for society. I also propose, however, that review boards be established for Medicare and Medicaid patients. These review boards would make decisions about whether or not to give treatment and what level of treatment. The demagogic term for these is “death panels.”
The fact is that end-of-life care is extremely expensive. The elderly in America were 13 percent of the population in 2002, but 36 percent of the health care spending. The elderly cost $11,089 per person per year to the average nonelderly cost of $3,352 per person per year (Agency for Healthcare Insurance and Quality, 2006). In 1999, Medicare beneficiaries in their last year of life were 27.9 percent of Medicare costs. And that will only get worse over the next 20 years as the population continues to age (Centers for Medicare and Medicaid Services, n.d.). Medicare recipients who died in 1978 and 1988 were 28 percent of Medicare costs, showing a remarkable consistency over time. For those who died in those two years, 77 percent of their total Medicare expenditures occurred in their last year of life, 52 percent in the last two months, and 40 percent in their last month (Luce & Rubenfeld, 2002).
All this money is spent to a questionably effective outcome. In one study, patients deemed to have less than 50 percent survival rate for 2 months due to acute respiratory distress syndrome (ARDS) cost $110,000 per quality-adjusted life-year (QALY). Those between 51 and 70 percent 2-month survival cost $44,000 per QALY, and those with a 2-month survival chance over 70 percent cost $24,000 per QALY (Luce & Rubenfeld, 2002). The study further found that if those who had a 2-month survival rate of less than 1% had care pulled, which was 12 of the 2,500 or .48 percent, then the costs of treatment for those 2,500 patients would’ve been reduced by 13 percent (Luce & Rubenfeld, 2002). Another way of looking at that is to say that .48 percent of the patients, who were deemed to have effectively no chance of living even two more months, cost 13 percent of the money. Once again, that’s not everything, but it’s not something to be ignored. Society must decide when to not use so much money for so little outcome.
Even away from death, Gladden asked what the point was in giving a woman in her 80s titanium join replacement, which is expensive, as opposed to another material (B. Gladden, personal communication, October 31). “There is a point where you have to start making calls about resource consumption” (B. Gladden, personal communication, November 1). Gladden compared such boards to transplant boards, saying that those meet on a regular basis in hospitals and decide who’s going to get which organs. Some people die as a result because they’re deemed to be too risky. He questioned the notion that the same logic can’t apply to so-called “death panels” simply because they deal with money instead (B. Gladden, personal communication).
Payment for these proposals is tricky. However, the proposals will clearly cost some amount of money, mainly the affordability credits. The review boards will save the government some money. Another option is taxes on unhealthy lifestyle choices. Placing additional taxes on cigarettes, fatty foods, and other unhealthy habits and activities would generate a good amount of additional revenue. And it would have the added benefit of making those who live unhealthy, and therefore likely cost the system more, pay for more. Rating structure would be another potential way to do this, but segmenting the pool of insurance is always risky, so that shouldn’t be banned as it is in the House bill but it should be kept at a low level. Penalties for not buying insurance would rake in $167 billion for the House bill (Elmendorf, 2009). One could also assume that my proposals would be substantial as well. And without a public option or exchanges, the cost of my proposals would not be as high.
The Democratic and Republican plans are not all that dissimilar. The three things I’ll address are the public option, exchanges, and purchasing insurance across state lines. The problem with the Republican idea of buying across state lines is that every state has its own regulations. And they are vastly different. Families USA put out a report that said five states could cherry-pick the healthiest customers and exclude the others, 35 states have no limits on how much insurers can vary premiums based on health status, eight states allow insurers to exclude coverage for individuals based on pre-existing conditions regardless of how long they’ve had the plan, and the list went on (Hushagen & Fish-Parcham, 2008). Those kinds of variances are too much for interstate purchase. Gladden said the federal government would eventually have to step in and regulate it entirely themselves (B. Gladden, personal communication, October 31).
The exchanges seem like a good idea, but as long as they’re around, people will increasingly use them. And the Democratic idea for funding them is to have employers who don’t provide their employees with insurance pay an eight percent tax (Elmendorf, 2009). With the reduction in administrative costs, some employers will therefore choose to use them and pay the tax, as Pelosi intends (House Committees, 2009). This buildup will mean more price control by the government. Japan controls its prices rigidly, to the detriment of its health care providers. Toshihiko Oba, an ear, nose, and throat specialist in Japan, worked 80-hour weeks for 13 years in the hospital system there for only $100,000 a year (Harden, 2009). Kono Hitoshi, a Japanese man who runs a private hospital, gets paid 450 yen, the equivalent of $4.30, to sew up a cut less than 6 square inches. The result of low costs for consumers is that 50 percent of hospitals are in financial deficit (Reid, 2008). And that’s not even taking into account the loss of a profit motive for innovation, which Gladden agrees has been a major factor in US health care, saying that American innovation in the health care industry has helped the world over (B. Gladden, personal communication, October 31). In 2006, research and development by pharmaceutical companies cost $43 billion. Each new medicine costs $1.3 billion to research, develop, test, and get through FDA approval (“Year in Review” 2008).
The public option may lead to a monopolized market. “I think it’ll require them [health insurance companies] to be more efficient or leave the industry” (B. Gladden, personal communication, October 31). It’s possible that we will one day need a public option, which Gladden felt would help a little, but for now even a weak version shouldn’t be implemented (B. Gladden, personal communication, October 31). Once you have something like that, it’s politically impossible to remove. So for now, I oppose the public option and the exchanges.


On Veteran’s Day, Armistice Day, it seems appropriate to discuss a foreign war. The War on Iraq’s been off the radar lately, but the War in Afghanistan has been all over the news. When I first heard that President Obama was going to review the Afghan strategy, I didn’t fully grasp what was meant by that. I was figuring one week later, two weeks at most, he’d announce to the American public and the world at large what he intended to do about Afghanistan. After all, he had
This is not a war like other wars. I’m not the first to say that. On Meet the Press David Gregory said that, and his guests agreed. But then, five minutes following that, he had a chart put up on the screen that compared the number of months we’ve been in Afghanistan versus Iraq versus WW1 versus WW2 versus the American Revolution, etcetera. There’s a clear lack of understanding on the part of the media, the politicians, and many of the “experts” in regard to the implications to be drawn from the common understanding that this is not a war like other wars. The ceaseless comparisons to Iraq in 2007 and Vietnam 40 years ago also illustrate this problem. Afghanistan is a place with mountainous terrain which does, like the jungles in Vietnam, limit the advantages of American military superiority. And, like Iraq, it is a fractious country filled with a good deal of anti-American sentiment. But there’s so much more to this fight.
Therefore, we must do what General McChrystal asked and give him the 40,000 more troops. We should encourage our NATO allies to give more soldier as well. The president claimed during the campaign that this was a war of necessity. His tough talk on Afghanistan and Pakistan is the main reason attacks on him as being weak on national security were unsuccessful. He