I found it quite interesting, in compiling tonight's "Bill of Health" report, to note the wide variation in the cost of nursing care across the country and the factors involved. I mean, at first glance, out of 50 states - why would Alaska have the highest cost of care? But supply-and-demand plays as much a role in this business as it does for any other. There just aren't that many seniors, age 85 years or older (the typical age for someone entering nursing care), residing in Alaska. Because there are fewer older people, there aren't many nursing-care facilities. And because there aren't many nursing care facilities, those that do exist can charge more for their services.

Still, even where there's a large population of seniors, such as in Florida, other factors come into play. The average price for a year at a nursing home in Florida is about $70,000. But in the major cities, like Orlando or Tampa, where land costs and staffing costs are higher, a private room costs another 10 to 20 percent more.

While long-term care insurance is a possibility, relatively few people purchase it. Most families rely on Medicare/Medicaid or their own financial resources to pay for a nursing home stay. The question is: Will those families (and the government) still be able to afford this type of care as the nation’s Baby Boomer population ages and adds more pressure to the forces causing nursing home costs to rise.