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Affordable Care Act and Its Impact

Affordable Care Act (ACA), passed in 2010, is one of the most significant healthcare
policy initiatives in the USA in over half a century. Even though it is primarily a healthcare
policy, it has had major economic, political, and social impact in the country.
Economically, ACA has subsided health insurance and greatly expanded Medicaid
access to many low income families. The policy has, therefore, managed to reduce financial
risk that many families faced due to high medical bills. By increasing coverage in terms of
number of people covered and the type of covered conditions, ACA has also created millions
of jobs in the healthcare industry has the law has increased demand for various healthcare
services.
Politically, ACA has increased the role of the federal government in
America’s healthcare at the expense of state governments and individuals. The law has,
therefore, increased divisions between supporters of ‘big’ governments and those of ‘small’
government that plays a limited role in the affairs of the country. Socially, improved
healthcare access and people’s feelings of being healthy has led to increased participation in
social activities such as volunteerism (Sohn & Timmermans, 2017).
Differences between single-payer and free market healthcare system
Single payer system is one in which payment for healthcare is done by one entity
(Petrou et al., 2018). This entity is usually the government. In a free market healthcare system,
there is no government intervention in provision or payment of healthcare services. Rather,
prices of healthcare services and goods are set by demand and supply forces (Petrou et al.,
2018). Thus, the two key differences between single payer and free market healthcare system
is government payment for healthcare services in single-payer system as opposed to payment

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of the services by individuals in the free market system and government control of the
healthcare industry in single-payer system as opposed to lack of government involvement in
free market Healthcare system. Of these two systems, the most suitable for the USA is free
market system. It has shorter wait times and often offers unlimited number of services at any
given time.

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References

Petrou, P., Samoutis, G., & Lionis, C. (2018). Single-payer or a multipayer health
system: a systematic literature review. Public health, 163, 141-152.
Sohn, H., & Timmermans, S. (2017). Social Effects of Health Care Reform: Medicaid
Expansion under the Affordable Care Act and Changes in
Volunteering. Socius, 3, 2378023117700903.