The healthcare industry is very big business in Australia. It is said that nearly one-tenth of all spending can be attributed to the healthcare industry in some way. It’s also important to note that the health care system is responsible for many jobs in Australia. Why is the health care system such a huge part of Australia’s economy?
The Aging Population
The population of Australia is getting older and with age comes greater medical needs. These medical problems need to be addressed and Australia needs to do all that it can to care for the elderly. Australians over the age of 65 will increase by as much as 60% by the year 2030. This will put a lot of stress on the health care system and its part of the reason why Australia continues to grow its health care industry.
Increasing Population Wealth
As the population continues to become more wealthy, the demand for medical care will rise. People who have more money to spend expect health care options to be more robust and effective. Since Australia’s economy has grown, there has been a desire for more health care options. The desire for health care is seemingly proportional to individual wealth despite some health care needs being a necessity.
The Demand for Medical Care
The demand for health care has risen substantially over the last several decades. Some citizens are forced to skip medical consultations due to not being able to afford the costs associated with them. This means that there is a demand for health care in Australia that is not currently being met. Australia continues to look for ways to drive the costs of care down.
Government Policies
You need to understand how instrumental the government is in this process as well. Australia’s government has made treating diseases and promoting preventative healthcare measures a top priority. Government policies are in place that cause a lot of money to be pumped into the healthcare sector. This is being done to meet the demands of the aging population.
Technological Improvements
Technological improvements are changing the healthcare industry in Australia as well. More medical problems can be solved in convenient ways due to technological advancements. Technology might be able to help drive costs down in some ways while also improving the overall quality of healthcare.