I’ve often complained that government-created third-party payer is the main problem with America’s healthcare system, and I was making that point well before Obamacare was imposed upon the country.
The issue is very straightforward. In a genuine free market, people pay “out of pocket” for routine expenses. And they rely on insurance only in cases where they may face large, unexpected costs.
But in our current healthcare system, thanks to Medicare, Medicaid, and the tax code’s healthcare exclusion, most of us buy services with other people’s money and that dramatically distorts incentives.
Here’s some of what I wrote about this messed-up approach back in 2009.
…our pre-paid health care system is somewhat akin to going to an all-you-can-eat restaurant. We have an incentive to over-consume since we’ve already paid. Except this analogy is insufficient. When we go to all-you-can-eat restaurants…
View original post 1,086 more words
Utopia, you are standing in it! 
Apr 10, 2015 @ 12:54:40
and it works where?
gosh why has health costs reduced in the US?
Never let ideology get in the way of facts!
LikeLike
Apr 10, 2015 @ 23:09:46
Get back to you tommorow
LikeLike