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Why Can New Zealand Afford Universal Health Care, and the USA Cant

April 18, 2025Health1837
Why Can New Zealand Afford Universal Health Care, and the USA Cant Whi

Why Can New Zealand Afford Universal Health Care, and the USA Can't

While the United States is often touted as the world's leading economy, its healthcare system leaves much to be desired. In stark contrast, New Zealand manages to provide a universal health care system that encompasses nearly all of its population, raising the question of why the USA cannot do the same.

The US Healthcare Budget: A Comparative Analysis

The United States spends nearly twice as much per person on healthcare as countries with universal healthcare systems. According to the Kaiser Family Foundation, the US spent $12,335 per person on healthcare in 2019, while countries with universal healthcare like New Zealand spent significantly less. For instance, New Zealand spent only about $5,000 per person in the same year. This disparity is not due to better healthcare outcomes; rather, it is a testament to inefficiencies within the US healthcare system.

Absence of Political Will and Political Lobbying

Despite the financial feasibility, the United States has not been able to implement a universal healthcare system. The lack of political will and the influence of powerful healthcare lobbies, such as the Health Insurance industry, significantly hinder progress. In the United States, the insurance industry has historically held significant sway over political decisions, much like the NRA has with gun control. This lobbying power has ensured that universal healthcare remains a distant dream for many Americans.

The Case of Universal Healthcare in New Zealand

New Zealand's success in providing universal healthcare is due to several factors. Firstly, the country has a strong tradition of social care and public investment. The government’s commitment to public health has resulted in a well-funded and well-structured system that covers a wide range of medical services. Secondly, New Zealand has a relatively lower median income, making it easier to finance a universal healthcare system. The lower cost of living and fewer disparities in wealth mean that the tax burden associated with such a system is more manageable.

The Political and Economic Implications

The inability to implement universal healthcare in the USA has major implications for both the nation's economy and its citizens. Many Americans face the reality of healthcare bankruptcy due to exorbitant medical bills. A universal healthcare system could significantly reduce these financial burdens, providing better access to medical care and promoting greater health equity. Moreover, a more efficient healthcare system could lead to better health outcomes and a more productive workforce.

Conclusion: A Disturbing Juxtaposition

The United States has the financial means to implement a universal healthcare system, but political obstacles and lobbying groups stand in the way. Meanwhile, countries with similar economic statuses, such as New Zealand, have successfully adopted universal healthcare, demonstrating that it is both affordable and beneficial. The USA must overcome these challenges and learn from the successful examples set by nations like New Zealand to ensure that all its citizens have access to quality healthcare.

Keywords: universal health care, healthcare affordability, USA vs. New Zealand