By using this site, you agree to the Privacy Policy and Terms of Use.
Accept
Health Works CollectiveHealth Works CollectiveHealth Works Collective
  • Health
    • Mental Health
  • Policy and Law
    • Global Healthcare
    • Medical Ethics
  • Medical Innovations
  • News
  • Wellness
  • Tech
Search
© 2023 HealthWorks Collective. All Rights Reserved.
Reading: Why Our HealthCare Spending Doesn’t Make Sense
Share
Notification Show More
Font ResizerAa
Health Works CollectiveHealth Works Collective
Font ResizerAa
Search
Follow US
  • About
  • Contact
  • Privacy
© 2023 HealthWorks Collective. All Rights Reserved.
Health Works Collective > Policy & Law > Public Health > Why Our HealthCare Spending Doesn’t Make Sense
BusinessPublic Health

Why Our HealthCare Spending Doesn’t Make Sense

Marya Zilberberg
Marya Zilberberg
Share
4 Min Read
SHARE

You know that joke about the drunk crawling around under a street light? A cop comes up to him and asks what he is doing. The drunk explains that he is looking for his wallet. The cop, getting ready to help the man, asks where exactly he dropped it. The drunk points to a distant corner of the dark side of the street. The cop, baffled, inquires why the man is looking here. With inimitable logic the drunk responds, “This is where the light is.”

You know that joke about the drunk crawling around under a street light? A cop comes up to him and asks what he is doing. The drunk explains that he is looking for his wallet. The cop, getting ready to help the man, asks where exactly he dropped it. The drunk points to a distant corner of the dark side of the street. The cop, baffled, inquires why the man is looking here. With inimitable logic the drunk responds, “This is where the light is.”

What does this story have to do with anything? Well, I went to a great HIT tweet-up in Cambridge yesterday, organized by Scratch Marketing and led by Janice McCallum. No, they did not at all remind me of the drunk in the joke. But the lively discussion about data by about two dozen attendees inspired by Janice’s thoughtful presentation certainly made me realize that our healthcare policy is like that drunk. Here is what I mean.

Our healthcare expenditures are completely devoid of any attempt at probabilistic thinking. I thought about the old Rand Corporation data, which I have presented here before. Juxtaposing them with the data on our National Healthcare Expenditures really drives home my message that we need to get a whole lot better at applying probabilities to our decisions. And this specifically applies to policy.
 
Just look at the glaring imbalance: while fully 60% of all premature deaths are due to behavioral, social and environmental factors which reside in the realm of public health, 97% of all NHE is spent on the medical side. If I add the 2% of the total NHE spent on research into the public health piece of the pie (this is exceedingly generous, as public health research gets a bafflingly tiny portion of the total US research budget), we still have 95% spent on personal health and its administration and only 5% on public health. 

So, if the probability of premature death due to a public health-related condition is 60%, why are we only spending 3% of all the healthcare dollars on fixing it? Another way of posing this question is, if the probability  of premature death from issues related to access to adequate medical care is 10%, why are we spending 97% of all the NHE on that piece of the pie?

More Read

Google Marketing Medical PPC Management
How Google’s Close Variant Changes Can Affect Your Medical PPC Campaigns
An Indian Hospital on the Fast Track
The Continuing Explosion in Healthcare Costs
Fighting Obesity in America: Has Weight Loss Gone Too Far?
The UK and Japan Moving to a National Rewards System: Is the US Next?

If this isn’t just like that joke, I don’t know what is. Only in this case it is much less funny than in the case of the drunk.





TAGGED:healthcare costshealthcare spending
Share This Article
Facebook Copy Link Print
Share

Stay Connected

1.5KFollowersLike
4.5KFollowersFollow
2.8KFollowersPin
136KSubscribersSubscribe

Latest News

Veneers vs. Crowns vs. Bonding: Understanding Cosmetic Options
Veneers vs. Crowns vs. Bonding: Understanding Cosmetic Options
Dental health Specialties
June 23, 2026
dental implants
Dental Implants and Quality of Life: What the Outcomes Data Shows
Dental health Specialties
June 23, 2026
Why Outpatient Addiction Treatment Works Better Than Most People Expect
Addiction Addiction Recovery
June 20, 2026
grief affects brain
How Grief Affects The Brain And Body
Infographics Mental Health
June 19, 2026

You Might also Like

EHRs And Malpractice Risk: A Serious Concern For Hospitals
Health careHospital Administration

EHRs And Malpractice Risk: A Serious Concern For Hospitals

December 7, 2018

How Your Hospital Marketing Programs Can Improve Public Health

January 20, 2015
obama and healthcare
Health ReformPolicy & LawPublic Health

Study: Mass. Reform Did Not Substantially Raise Acute Care Costs

May 21, 2013
Screen Shot 2014-04-01 at 2.49.04 PM
BusinessFinanceMedical DevicesMedical InnovationsTechnology

Fundings in Medtech 2009-2014: A Contrarian View

April 5, 2014
Subscribe
Subscribe to our newsletter to get our newest articles instantly!
Follow US
© 2008-2026 HealthWorks Collective. All Rights Reserved.
  • About
  • Contact
  • Privacy
Welcome Back!

Sign in to your account

Username or Email Address
Password

Lost your password?