You have hit on some of the key issues. There are many complexities which you have ignored. I think the issue of unpooled risk is the biggest issue. Your assumption is that deregulation will fix the problem Now the insurance companies will magically combine everyone into one large pool. Everyone will be covered.. there will be world peace, etc. This is a fabrication. The reality is that market segmentation is inherent in the fabric and business model of insurance. It is only outside regulation that has a chance of changing this behavior and saying what is unethical and which is acceptable. Even worse, the individual consumer is often short sighted about healthcare needs until they really need it. Worse still is the general ignorance of many people about healthcare needs and issues. How do you solve this problem?
I think one of the biggest issues with your prescriptions is that they fail to acknowledge the market imperfections based on human greed, shortsightedness and the problems of acting only in your selfish interest. These same problems are at the root of government’s problems but they also plague “free enterprise”. I have definitely become more and more concerned at how many of my fellow conservatives ignore these dynamics.
So good to bring up the issues, etc. but we need more than blind faith in market dynamics alone… By the way, how do you propose to make sure consumers can get negotiate for a price when they are doing it a point of need and with poor information? Do we make it illegal for doctors to never post prices, give different prices for different people and for clinics and provides to split the charges so many ways that you do not know what you will be charged until months later..? Add to that the problem that the insurance companies do the same thing (not the ICD9 hell of billing an insurance company) and the picture is not good for free markets in healthcare.
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You have hit on some of the key issues. There are many complexities which you have ignored. I think the issue of unpooled risk is the biggest issue. Your assumption is that deregulation will fix the problem Now the insurance companies will magically combine everyone into one large pool. Everyone will be covered.. there will be world peace, etc. This is a fabrication. The reality is that market segmentation is inherent in the fabric and business model of insurance. It is only outside regulation that has a chance of changing this behavior and saying what is unethical and which is acceptable. Even worse, the individual consumer is often short sighted about healthcare needs until they really need it. Worse still is the general ignorance of many people about healthcare needs and issues. How do you solve this problem?
I think one of the biggest issues with your prescriptions is that they fail to acknowledge the market imperfections based on human greed, shortsightedness and the problems of acting only in your selfish interest. These same problems are at the root of government’s problems but they also plague “free enterprise”. I have definitely become more and more concerned at how many of my fellow conservatives ignore these dynamics.
So good to bring up the issues, etc. but we need more than blind faith in market dynamics alone… By the way, how do you propose to make sure consumers can get negotiate for a price when they are doing it a point of need and with poor information? Do we make it illegal for doctors to never post prices, give different prices for different people and for clinics and provides to split the charges so many ways that you do not know what you will be charged until months later..? Add to that the problem that the insurance companies do the same thing (not the ICD9 hell of billing an insurance company) and the picture is not good for free markets in healthcare.