Unaddressed Social Determinants of Health are Breaking the Bank
Market Primer: Social Innovations for Health (Part 03)
This article is part of our new market primer series on social innovation for health. Learn more about our research and check out the Table of Contents.
The US spent $3.3 trillion on healthcare in 2016. This represents nearly 18 percent of the national Gross Domestic Product (GDP); other countries’ healthcare systems spend a fraction of this percentage, yet produce better results in life expectancy and other key clinical outcomes.
Moreover, the US spends twice as much on healthcare services as on social services — in all other first world countries this proportion is the other way around. These discrepancies serve as a spotlight on the misallocation of resources on health care versus social care, as well as a clue for the next frontier of progress in US health outcomes and spending.
The story about social determinants goes far beyond healthcare issues; the imbalances in where (and to whom) public dollars are flowing in the US is part of broader socioeconomic disparity. The US has a higher degree of income…
