Describe a type of health care spending that you consider wasteful or services that you consider have little or no benefit. Explain why you find the spending wasteful, and if eliminated, what impact it may have on the American public.

Solution

Overutilizing unnecessary diagnostic imaging, such as excessive magnetic resonance imaging (MRI) and computed tomography (CT) scans, wastes significant healthcare spending. While these imaging tests play a crucial role in diagnosing severe conditions, many providers order them without apparent medical necessity, which drives up healthcare costs and exposes patients to potential harm. Hendee et al. (2010) argue that inappropriate imaging increases healthcare expenses, subjects patients to unnecessary radiation, and often produces false-positive results that lead to further unneeded interventions. The financial burden of these excessive tests raises insurance premiums and government healthcare expenditures, placing strain on both private and public healthcare funding.

Reducing unnecessary diagnostic imaging would lower healthcare costs and minimize patients’ exposure to potential risks. Berwick and Hackbarth (2012) estimate that wasteful medical spending, including unnecessary testing, makes up nearly 30% of total U.S. healthcare expenditures. Enforcing stricter guidelines and improving provider education on evidence-based imaging practices would significantly cut costs without diminishing patient care. Additionally, eliminating unnecessary imaging would ease patient anxiety caused by false-positive results and the subsequent need for further testing and procedures.

Eliminating wasteful spending on excessive diagnostic imaging would redirect resources toward more critical areas of healthcare, such as preventive care and chronic disease management. For instance, healthcare systems could use the funds saved to support vaccination programs, expand mental health services, and make prescription medications more affordable. As healthcare costs continue to rise, reducing wasteful spending remains essential for improving system efficiency and ensuring that resources serve the greatest need. By prioritizing value-based care over volume-based services, the U.S. healthcare system can enhance patient outcomes while easing financial burdens on individuals and government programs.

References
Berwick, D. M., & Hackbarth, A. D. (2012). Eliminating waste in U.S. health care. JAMA, 307(14), 1513-1516.

Hendee, W. R., Becker, G. J., Borgstede, J. P., Bosma, J., Casarella, W. J., Erickson, B. A., … & Thrall, J. H. (2010). Addressing overutilization in medical imaging. Radiology, 257(1), 240-245.

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