Much of the health care spending in India, and in the rest of the world, is on expensive and ineffective forms of treatment. One third of the household expenditure in India is on medicines. Most poor Indians spend more on minor ailments than on diseases of a serious nature. “Hospitals are an extremely expensive way of spending money on health care,” says Bhandari. As a better environment, water and sanitation conditions affect one’s health more than medicines some health experts even think that spending more on health care at their expense would result in ballooning health expenditure which accomplishes little. According to a 2008 World Bank paper, over-medication is rampant in India. Though many think that poor Indians in rural areas often do not have access to a health care facility, according to this study, most Indians have access to some health care facility when they need to. Even people in Rural Rajasthan visit doctors 6 times a year on average when the corresponding figure in the US is only 3.15 times. Even extremely poor rural households in India spend around five per cent of its monthly budget on heath expenses. The level of medication is likely to be higher than this data indicates because over-the-counter selling of medicines is far more common in India.
Read Doing Less With More in Business Standard.