Originally posted by Nesster This is true enough.
Reality, however, is that the big money private entities involved in health care, together with legalistically drawn regulations (we're talking about people's lives and health here, not to mention malpractice suits) etc ensure our system is dysfunctional - and that attempts to reform this system (which the Affordable Care Act addresses) towards greater efficiency are met with massively funded resistance. (Said massive funding comes from where? Our pockets of course, from medical costs...)
Without regulation, it is possible or even likely that costs could come down - however, we'd get a very segmented market where you get your pawn-shop clinics, your wal-mart clinics, and your Nordstrom hospitals. Besides, while having a heart attack, do you really want to be doing comparison shopping for your EMT and ER? Checking out ratings (which could be manipulated) and pricing? And what if there was a complication that completely throws off your computations? Yeah, I'd pick Moishe's Ambulance and Movers cause they are cheapest and have them take me to the local pawn-shop ER, where in exchange for fixing my heart I only need to donate one kidney and some bone marrow.
We do have a problem with big money distorting they system, but they are using government regulations to distort the system. Bush's Medicare Part D cost the taxpayers $300 billion a year and made drug companies billions of dollars. These big money PACs and corporations use government to their advantage and to get access to public money. Giving government more power is essentially the same as giving more power to these super PACs and corporations. Who ends up writing these regulations and laws? There are 70 lobbyists for every sitting US Senator looking to buy special favors for their industry.
Is a segmented market bad? What does segmented mean? It simply means more choices and I don't think more choices are a bad thing. When the AMA came to power over our medical services they shut down more than half of all medical schools. Most of these schools trained healthcare workers who were going back into poor communities to work. Maybe the healthcare they were getting was not "Nordstrom" quality, but it was better than nothing, which is what these communities were left with after the AMA regulations were put in place.
What percentage of healthcare is legitimate emergency service? How long would a "pawn-shop" ER be in business? People and family members have recourse when dealing with this activity. There is a practically new hospital between Nashville and Clarksville that is "well regulated" and just scored a 31 out of 100 on its quality of care.
http://www.theleafchronicle.com/article/20120712/NEWS01/307120028/Gateway-ge...nclick_check=1
Look up all of the problems that our government managed Veterans Administration hospitals have had.
10 veterans test positive for hepatitis after colonoscopies - USATODAY.com The VA has now sent letters advising 3,260 patients who had colonoscopies between May 2004 and March 12 at the Miami Veterans Affairs Healthcare System that they also should get tests for HIV, hepatitis and other infectious diseases.
Or maybe you missed the Walter Reed Army Hospital story.
Soldiers Face Neglect, Frustration At Army's Top Medical Facility Walter Reed Army Medical Center neglect scandal - Wikipedia, the free encyclopedia
Nobody has more frigg'n regulations than the Army. A good government ran hospital that is well regulated.
I don't buy the idea that regulations accomplish anything other than give people a false sense of security. There were regulations against what Madoff did. There were regulations against what Barclays did (and the FED knew about it since 2008). There are regulations against flying planes into buildings..... did it matter?
Or what about the regulations that all debt sold by banks has to be rated by a national rating agency? How did that work out? In 1975 Nationally Recognized Statistical Rating Organizations were established by the Federal Government, and all commercial debt that was sold had to be rated by one of the recognized companies (S&P, Moody's, Finch). Prior to this people looking to buy debt had to go to debt rating agencies and pay to have the quality of the debt determined prior to purchase. The ratings agencies worked for the buyer and had every incentive to make sure they accurately valued the debt. But after the government got involved this reversed and the rating agencies were working for the sellers, and debt sellers would shop agencies to find out who would rate the quality of their debt the highest. The government regulations did nothing to improve the quality of the debt or reduce the risk. If anything the regulations increased the risk in the credit markets and made the ratings agencies billions of dollars. The regulations gave investors a false sense of security.