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(Continued ) According to company estimates, health care costs add about $1,500 to the cost of each GM vehicle, $1,400 per vehicle for Chrysler, and $1,100 for Ford* Consider that Japanese car companies are still competitive despite coming from a country with high wages In Japan, the government not the company is largely responsible for retiree health care costs Pension reform and a greater public role in health care need to be de ned if the beleaguered fate of the domestic auto industry is not to beset other US industries
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*Eduardo Porter, Japanese Cars, American Retirees, the New York Times, May 19, 2006, wwwnytimescom/2006/05/19/automobiles/19auto html
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In contrast to the frenetic interchange of goods and services witnessed each day, certain segments of the population aren t moving nearly enough This sedentary lifestyle comes with a price tag: nagging ailments and shortened life spans While breakthroughs in the health industry have continued to add years to life expectancy, our greater capacity to consume has created a culture of overconsumption In the United States approximately 25 million children are technically obese a whopping one-third of American children and teens15 Obesity then puts our country s workers on a downward spiral for the rest of their lives, leaving them more susceptible to diseases later in life that include type II diabetes, high cholesterol, heart disease, hepatitis, liver failure, and sleep apnea16 And child obesity is but only the latest manifestation of poor lifestyle choices Between obesity rates; cigarette, drug, and narcotics usage; and the increasing amount of time Americans spend in cars and at desks, is it such a surprise that, according to UN estimates, the average life expectancy in Cuba is greater than the average life expectancy here in the United
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States 17 While Americans tout their medical care as the best in the world, capable of treating nearly any disease that arises, statistics show that the United States lags in many ways While we do have some of the best specialist physicians in the world, adopting bad habits and relying on surgeries and specialized care later on is not wise Better small decisions made daily can free the country from huge medical bills down the road Of course, government policy cannot make choices for individuals, but it can help to educate people and skew incentive structures through taxes Consider what happened to the tobacco industry in the late twentieth century Today we know that cigarette smoking can cause lung cancer, heart disease, emphysema, bronchitis, chronic airway obstruction, atherosclerosis, and peripheral vascular disease, just to name a few Many of these diseases are not totally curable, and others, such as peripheral vascular disease, require extreme forms of treatment such as amputation of limbs But when cigarettes were rst introduced in the United States in the early nineteenth century, these health complications were largely unknown Although early-1900s progressives campaigned against the habit for hygiene and moral reasons, during World War I, army surgeons praised cigarettes for helping the wounded relax and easing their pain18 But by the 1950s, scientists were aware of cigarettes carcinogenic properties Since the 1960s, government policy toward tobacco has helped to wean more and more Americans off these cancer sticks Although today cigarette smoking remains the leading preventable cause of disease and death (in 2006, an estimated 208 percent 453 million of US adults were cigarette smokers19), as Figure 63 shows, this marks a signi cant decrease Success is largely due to a multi-pronged government policy: limiting advertising, warning potential consumers and children of health side effects, and raising prices Since 1969, it has been prohibited to advertise cigarettes on TV and radio, and since 1999 billboards have also been off-limits Since 2002, 43 states and the District of Columbia have increased cigarette taxes, increasing the average state cigarette tax from 434 cents to $111 a pack The current federal tax is 39 cents per pack20 The slew of lawsuits brought against tobacco companies have stipulated increased spending for anti-tobacco campaigns The decrease in smoking over the last 40 years shows us that similar
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