31 cents of every dollar spent on healthcare in the United States goes to pay administrative costs. This is double the rate in Canada, according to a comparison indicating a bureaucratic waste in the U.S. system.
The United States wastes more money on health bureaucracy than it would cost to provide healthcare to tens of millions of uninsured Americans.
Americans spend $752 more per person per year than Canadians on medical administrative costs in a study done by Harvard University and Canadian Institute for Health Information.
The difference in the costs of healthcare administration between the two countries is large and seems to be growing.
The study found that after certain exclusions, administration accounted for 31% of healthcare expenditures in the United States.
These estimates do not include advertising costs of drug companies or hospitals.
There have been several studies of this type and all of them do not agree on the exact percent or figures, but clearly there is a major difference.
Nonetheless, many persons have serious reservations about a Canadian style single-payor healthcare system for the United States.