Ruqayyah Snyder
During a meeting with Australian Prime Minister Malcolm Turnbull in 2017, former US President Donald Trump praised Australia's universal healthcare system, stating that you have better healthcare than we do. Trump's comments came shortly after the House passed the GOP healthcare bill, which was designed to repeal and replace former President Barack Obama's Affordable Care Act. Trump's remark was a rare acknowledgement of the superiority of a universal healthcare system, which the US does not have. Despite his praise for Australia's system, Trump did not indicate that he believed the US should adopt a similar model.
| Characteristics | Values |
|---|---|
| Date | 5th May 2017 |
| Location | New York |
| Occasion | Joint press conference with Australian Prime Minister Malcolm Turnbull |
| Comparison | "You have better healthcare than we do" (referring to Australia's system compared to the US) |
| Context | The GOP's second attempt at a health care reform bill was passed by the House earlier that day |
| Trump's view of US healthcare | "ObamaCare is dead! But our healthcare will soon be great." |
| Australia's healthcare system | Universal healthcare, publicly funded through Medicare, with about half the population also buying private health insurance |
| US healthcare spending | 17% of GDP in 2014 |
| Australia's healthcare spending | 9.4% of GDP in 2014 |
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What You'll Learn
Trump praised Australia's universal healthcare system
In 2017, then-President Donald Trump praised Australia's universal healthcare system, stating that it was better than the American healthcare system. During a meeting with Australian Prime Minister Malcolm Turnbull, Trump remarked, "our great gentleman and my friend, from Australia ... you have better healthcare than we do." Trump's comments came shortly after the House passed the GOP healthcare bill, which was designed to replace the Affordable Care Act, also known as Obamacare.
Trump's praise for Australia's healthcare system is notable because it contrasts with the bill he supported, which would have reduced Medicaid funding and increased costs for older Americans and the poor. Australia's universal healthcare system, underpinned by government-funded Medicare, provides free hospital treatment and subsidized medical care for all residents. About half of Australians also choose to buy private coverage, which offers greater choices.
While Trump acknowledged the superiority of Australia's system, he did not advocate for adopting an Australian-style system in the United States. The White House later claimed that Trump's remarks were merely flattery and not an indication of his policy preferences. However, some commentators have suggested that Trump's comments reflect a growing public interest in an Australian-style universal healthcare system in the US.
Australia's approach to healthcare has several notable features. Firstly, Australian doctors are required to inform patients of fees above health plan coverage, helping to ensure informed financial consent and reducing surprise out-of-pocket expenses. Secondly, the Australian government drives high uptake of health insurance through incentives and penalties. For example, higher-income Australians are mandated to buy insurance, and they face tax penalties if they do not purchase a private plan.
In conclusion, Trump's praise for Australia's universal healthcare system highlights the recognition that Australia has achieved better health outcomes and greater accessibility than the American system. Despite political differences and complexities, there may be valuable lessons to learn from Australia's approach to healthcare.
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Trump's comments were made to Australian Prime Minister Malcolm Turnbull
In May 2017, during a meeting with Australian Prime Minister Malcolm Turnbull, US President Donald Trump praised Australia's universal healthcare system, stating that Australians had better healthcare than Americans. Trump's comments came shortly after the House passed the GOP healthcare bill, which was designed to replace former President Barack Obama's Affordable Care Act.
Trump's exact words to Turnbull were, "our great gentleman and my friend, from Australia ... you have better healthcare than we do." Trump's remarks were a reference to the Australian system, which consists of both public and private markets, with publicly funded universal healthcare.
Trump's comments caused some controversy, as they seemed to contradict the bill he had just praised. The bill, often referred to as "Trumpcare," proposed reducing Medicaid funding, increasing premium costs for older Americans, and making plans unaffordable for low-income earners. These changes would take Americans further away from an Australian-style system, which is characterised by government-funded Medicare and a mix of public and private insurance options.
Despite the apparent contradiction, some analysts have suggested that Trump's comments highlight important aspects of the Australian healthcare system that could provide valuable insights for improving healthcare in the US. For example, Australia has adopted the practice of sharing cost information with patients before treatment, empowering consumers to make informed financial decisions. Additionally, Australia's approach to driving high uptake of health insurance through incentives and penalties addresses concerns about healthcare affordability.
While Trump's comments may have been surprising, they draw attention to potential opportunities for reform and improvement in the US healthcare system.
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Australia's healthcare system is publicly funded
In 2017, former US President Donald Trump remarked that Australia has a better healthcare system than the US. Trump's comments came during a meeting with Australian Prime Minister Malcolm Turnbull, shortly after he praised the GOP healthcare bill passed in the House. Trump said:
> "It’s a very good bill right now. The premiums are going to come down very substantially. The deductibles are going to come down. It’s going to be fantastic healthcare. Right now ObamaCare is failing; we have a failing healthcare... our great gentleman and my friend, from Australia … you have better healthcare than we do."
Australia's healthcare system is indeed publicly funded, with the Australian Government and state and territory governments sharing the funding of public hospital services. The federal Minister for Health sets national health policy and may attach conditions to funding provided to state and territory governments. The funding model for healthcare in Australia has seen political polarisation, with governments being crucial in shaping national healthcare policy.
The Australian healthcare system is one of the most comprehensive in the world, offering a range of services from general and preventative health to treating more complex conditions that may need specialist or hospital care. The system has two major parts: the public health system and the private health system. The public health system is funded by the government, while the private health system is funded by private health insurers and sometimes through payments by patients.
The Australian Government usually funds most of the spending for medical services and subsidised medicines. It also funds most of the money spent on health research in Australia. State and territory governments fund most of the spending for community health services and cover the cost of ambulance services for their citizens.
Public health care services are provided by local health districts, and public hospitals and community health services are owned and operated by state and territory health departments, jointly funded by the Australian Government and the state and territory governments.
The Australian healthcare system is underpinned by the Medicare system, the national single-payer funding model. Australian citizens, permanent residents, and some visitors and visa holders are eligible for health services under the Medicare system. Medicare covers the treatment as a public patient in a public hospital, 75% of the fee for doctors' services in hospitals, and all or some of the cost of going to a GP or specialist.
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The US does not provide universal healthcare
In 2017, former US President Donald Trump remarked that Australia has a better healthcare system than the US. This comment was made during a meeting with Australian Prime Minister Malcolm Turnbull, shortly after Trump praised the GOP healthcare bill that had been passed in the House. Trump's statement drew attention to the differences between the healthcare systems of the two countries, with Australia having a publicly funded universal healthcare system.
The United States is the only wealthy OECD country that does not provide universal healthcare to its citizens. The US healthcare system is heavily reliant on a subsidised and lightly regulated private sector. As a result, millions of Americans are uninsured, underinsured, or unsure of their coverage. This situation is partly due to historical factors, including a post-World War II marketing campaign funded by the American Medical Association (AMA), which associated national health insurance with socialism and promoted private insurance as the "American Way."
Additionally, the US federal system and the interpretation of federal versus state powers have played a role. Health is not an explicit area of governance for the US federal government, and there is no formal federal right to healthcare. While the federal government does get involved in healthcare, it does so through legally complex methods, such as its taxing power and, in the case of Medicare, a basis on "general welfare."
The US's unique approach to healthcare is also influenced by its individualistic culture, union bargaining, inflationary pressure, and favourable tax treatment for employer-sponsored health insurance. Despite the lack of universal healthcare, there are signs that public opinion may be shifting. For example, Progressive Democratic senator Elizabeth Warren has called for single-payer healthcare as party policy. However, the path to achieving universal healthcare in the US remains complex and politically challenging.
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Trump's comments were in reference to the Affordable Care Act
Trump's comments on Australia's healthcare system were in reference to the Affordable Care Act. During a meeting with Australian Prime Minister Malcolm Turnbull in 2017, Trump praised Australia's universal healthcare system, stating that "you have better healthcare than we do". This comment came shortly after the House passed the GOP healthcare bill, aimed at repealing and replacing the Affordable Care Act, also known as Obamacare.
Trump's remarks drew attention as they contrasted with the direction his administration was taking with healthcare reform. The bill he supported proposed reducing Medicaid funding, increasing premium costs for older Americans, and making plans unaffordable for low-income earners. These changes moved the US further away from an Australian-style system, which provides universal healthcare coverage through a combination of public and private markets.
Trump's comments acknowledged the strengths of Australia's healthcare system, which includes sharing cost information with patients, informed financial consent, and a mix of public and private coverage options. Australia's Medicare system, launched in the 1980s, is funded by a 2% income tax and has become a safety net, with about half the population also purchasing private health insurance. This system ensures that all residents have access to free hospital treatment and subsidized medical care.
Despite his praise for Australia's healthcare system, Trump did not advocate for adopting an Australian-style system in the US. His comments were likely a critique of the Affordable Care Act and an expression of his desire to improve healthcare in the US. Trump added that "when everything comes together with the inclusion of Phase 2, we will have truly great healthcare!".
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Frequently asked questions
Yes, Trump said that Australia has a better healthcare system than the US.
Trump made the comment in May 2017 during a meeting with Australian Prime Minister Malcolm Turnbull.
Trump's comment came shortly after the House passed the GOP healthcare bill. The bill was designed to repeal and replace former President Barack Obama's Affordable Care Act.
Australia has a universal healthcare system, underpinned by government-funded Medicare. About half of Australians also buy private health insurance.
No, despite praising Australia's healthcare system, Trump did not think the US should adopt an Australian-style system. The White House later claimed that Trump's comments were empty flattery.
