Rising health care costs undermine the ability of U.S. firms to compete internationally and threaten good American jobs, according to a report released today by the New America Foundation. The New America report, "Employer Health Costs in a Global Economy: A Competitive Disadvantage for U.S. Firms," found that U.S. manufacturers spend more than twice as much for health benefits as their foreign trading partners. An example: Ford Motor Co. says health care costs add $1,500 to the price of each vehicle it manufactures – $600 more than its foreign competitors pay. The foundation calls for a series of reforms, including moving to an individual, rather than employer-based system.

Question: How did we end up in this mess?

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