Healthcare has an irreplaceable role in ensuring the heath of every individual and the health of a nation will gradually affect the development and economy of a country
Healthcare has an irreplaceable role in ensuring the heath of every individual and the health of a nation will gradually affect the development and economy of a country. According to Abraham Maslow’s hierarchy of needs theory, once we acquired sufficient food, pure water, warm clothing and shelter for protection, health and safety needs demonstrate themselves rather crucially. Therefore, many developing countries such as Canada allows their citizen to access into Universal Healthcare system to improve their wellbeing. However, the cost to obtain this achievement is extortionate whereby the citizen will need to bear with high taxes and longer waiting list due to the shortage of doctors. This essay will evaluate the economic and social drawbacks of free healthcare.
Firstly, providing free healthcare is able to boost the economic growth and development of a nation. Many critics argued that the wealth of a nation starts with the health of the citizen; promoting good health to the workforce will reduce sick leaves of a worker and improves the worker’s energy, focus and attitude during work. This will increase the productivity of each workers which helps to improve the country’s trade balance by having higher export. Furthermore, government will be able to collect taxes revenue from export to ameliorate the education system and introduce more public infrastructure. A report prepared by Institute of Medicine (2003) shows that the U.S economy loses $65-$130 billion annually due to substandard health and premature death of labor. However, providing Universal healthcare can also damage a country’s economics by increasing the debt and deficit overtime. It is suggested that the healthcare reform law will increase the debt by $500 billion in the first 10 years and $1.5 trillion over the decade(Eakin & Ramlet 2010). On the other hand, providing free healthcare constrain many people to pay high tax in order for the government to afford Universal healthcare. Obama care, a set of health insurance designed for the lower class had caused a huge burden to the middle class income. The law had implemented that citizen with the income of $200000 annually need to pay 0.9% tax increase for the Medicare payroll tax(Klein,2012). In 2015, Obamacare known as ‘job killer’ engendered 300000 job lost and diminished 10130 business establishment(Bedard,2017). The source of high unemployment is due to the significant cost of income tax discouraging many middle class income to work hard.