Healthcare: A wide-angled view CHF Australia Policy Forum, 12 - - PowerPoint PPT Presentation

Healthcare: A wide-angled view

CHF Australia Policy Forum, 12 November 2019 Michael Brennan, Chair

The price of things = hours of work to buy

2

1901 2000

Rent (3 bedroom)

14.6 10.7

Women’s shoes

16.3 2.8

Concert

8.4 1.7

Beer (1 carton)

7.8 1.2

Rump steak (1kg)

1.6 0.5

Milk (1 litre)

0.34 0.06

Antibiotics

0.4

Health

Health prices broadly reflect incomes (and a bit of policy)

Health 3

Health prices outpace other prices

Health 4

200 400 600 800 1000 1200 Sep-1980 Sep-1983 Sep-1986 Sep-1989 Sep-1992 Sep-1995 Sep-1998 Sep-2001 Sep-2004 Sep-2007 Sep-2010 Sep-2013 Sep-2016 Sep-2019 Index (Sep 1980=100)

Medical and hospital services CPI Motor vehicles

Health spending has risen in significance, 1971-2018

Health 5

4 5 6 7 8 9 10

1971 1974 1977 1980 1983 1986 1989 1992 1995 1998 2001 2004 2007 2010 2013 2016 Health spending to GDP (%)

9.3% 4.5% 2018 1971

Life expectancy – a 20th century success story, 1881-2017

Health 6

40 50 60 70 80 90

1881–1890 1920–1922 1953–1955 1970–1972 1985–1987 1994–1996 1997–1999 2000–2002 2003–2005 2006–2008 2009–2011 2012–2014 2015–2017

Years at birth

females males

Healthy life expectancy is good too

Health 7

60 62 64 66 68 70 72 74 76 Turkey Latvia Hungary Mexico Estonia Slovakia Poland US Czechia Chile Slovenia Belgium Germany Finland Denmark UK Greece Portugal Ireland Netherlands Austria Sweden Luxembourg New Zealand Israel Australia Iceland Norway South Korea Canada Italy France Switzerland Spain Japan Years

73 68.5 US AUS

2016

High life expectancy for $ spent

Health 8

74 76 78 80 82 84 86 5 10 15

Life expectancy at birth (years)

Health as a share of GDP (%)

US AUS Switzerland Japan Latvia Turkey Luxembourg Germany

Good value for money

Health 9

• 6.0
• 1.5
• 1.3
• 1.2
• 1.1
• 1.0
• 0.9
• 0.6
• 0.6
• 0.3
• 0.2
• 0.2
• 0.2
• 0.1

0.5 0.9 1.4

• 7
• 6
• 5
• 4
• 3
• 2
• 1

1 2 United States Germany Norway Netherlands Belgium United Kingdom Switzerland Australia Iceland Additional life years

Difference between actual life expectancy and life expectancy given spending per capita

Australia has a high volume model

Health 10

Health care usage is climbing

Health 11

100 110 120 130 140

2009 2010 2011 2012 2013 2014 2015 2016 2017 2018

Index (100 = 2009)

Financial year ended

Hospital separations GP services Population