eli5: How come health care cost so much more in America vs. other countries?

Question

I understand that insurances covers part of the cost. However, the total cost (before coverage) is still much higher in America. Why?

Is the supply chain different? Are doctors and staff paid better in America?

In: 188

Answer 1

While not the total cause or even the biggest cause, there are additional logistic issues caused by having your total population spread across a large area. In short, density of other “1st world” countries makes a lot of commerce including healthcare easier.