While the national healthcare debate slowed down when America focused on recovering from World War II, medicine moved forward. Penicillin opened people’s eyes to the wonders of antibiotics and Jonas Salk developed a successful Polio vaccine. Divides Present in the Healthcare System and What?s Next?
FDR’s national health insurance plan failed in Congress, but Harry Truman revived it as Medicare and Medicaid. Unfortunately, early funding and policy decisions shaped by racism helped embed inequities in these programs today. Divides Present in the Healthcare System and What?s Next?
The American Medical Association
At the turn of the century new understandings of human physiology, along with more rigorous training for physicians, helped to raise professional standards. This bolstered respect for the profession and contributed to efforts to create a publicly financed health-care system.
At first, the AMA opposed this idea, but the rise of insurance that allowed its members to pay only a portion of the physician’s fee made this change seem inevitable. The AMA was not happy about this but did little to stop it.
Getting the AMA to back a progressive plan for national healthcare would be a lot like asking the NRA to back a ban on assault weapons.
The Wagner-Murray-Dingell Bill
As the 1920’s drew to a close, it was becoming clear that medical costs were starting to take up more of workers’ income than wage losses from illness. This led to the emergence of new political forces in Congress.
This legislation was titled the Wagner-Murray-Dingell bill, and it was part of President Truman’s Fair Deal programs.
Opposition to this plan centered on the fear of government control over medical affairs and on potential limitations that it would impose on doctors in professional status and income. However, this bill failed to make it through the legislative process.
The Social Security Act of 1935
With the Depression in full swing President Franklin Delano Roosevelt (1933-1945) knew healthcare would become a major issue for the nation. He instructed Secretary of Labor Frances Perkins to begin exploring social insurance plans as soon as she could.
Despite the AMA’s fierce opposition, Perkins did push forward with a bill that covered unemployment and old age.
Its first monumental task was registering employers and workers. This was a very large undertaking and involved selecting sites for field offices and training personnel.
The Stabilization Act of 1942
In the wake of the Great Depression, healthcare became a hotly debated issue. Many Americans found themselves struggling to afford basic necessities like food and shelter, and health care often fell by the wayside.
Labor unions used the proposal as a bargaining chip during negotiations, but the AMA steadfastly opposed it. They claimed that the plan was straight out of the Soviet Union, further stoking the Red Scare.
The Stabilization Act of 1942 established plenary power to stabilize prices throughout the economy through price controls. This led to the emergence of employer-sponsored healthcare plans.
Employer-Sponsored Healthcare
Until recently, the majority of health-care spending in the United States was provided by employers. However, a variety of factors have contributed to rising prices, including poor outcomes such as low life expectancy and high maternal and infant mortality.
This raises the question of whether the health-care sector serves its consumers. After all, those who control the money make the rules. This leads to excessive costs and wasteful spending.
The Health Security Act of 1993
President Clinton knew that healthcare expenses were quickly growing out of control.
The Bill included standardized health benefits and encouraged regional alliances to promote managed care. It also allowed family members to deposit funds into a tax-free medical savings account.
However, the AMA still opposed this plan and it never became law. It did, however, inspire future Presidents to work on improving the nation’s healthcare system. But, that wouldn’t happen until after the ’90s.
The Affordable Care Act
The Affordable Care Act (ACA) expanded health insurance to millions, but it did little to contain runaway healthcare costs. Indeed, recent increases in facilities expenses and prescription drug prices have been among the fastest in history.
The AMA fiercely opposed any plan for a national health system, causing FDR to drop the health insurance portion of his Social Security Act of 1935. The bill did establish a comprehensive package of benefits, including unemployment insurance and assistance for the elderly and disabled needs read more hear.
