> "Health Care will be fixed not by laws or insurance companies, but by technical innovation and good old fashioned economics. "
I doubt market forces can drive the healthcare prices to normal values. The success of a free market hinges on supply-demand balance and consumer choice. In healthcare, both factors are skewed against the consumer.
If I am consumer of a non-essential product and if I find a supplier unsatisfactory, I either have the choice of going with a better competitor or even forego consuming the product altogether. When it comes to healthcare, I don't have much option. Even the competitive forces are weakened due to high barrier for entry and lack of bargaining power from the consumer.
If you are sick and even if all the existing healthcare providers are expensive, you don't have the luxury to sit out. When consumers are locked in like this, there is no motivation for healthcare providers to drop their rates.
I doubt market forces can drive the healthcare prices to normal values. The success of a free market hinges on supply-demand balance and consumer choice. In healthcare, both factors are skewed against the consumer. If I am consumer of a non-essential product and if I find a supplier unsatisfactory, I either have the choice of going with a better competitor or even forego consuming the product altogether. When it comes to healthcare, I don't have much option. Even the competitive forces are weakened due to high barrier for entry and lack of bargaining power from the consumer. If you are sick and even if all the existing healthcare providers are expensive, you don't have the luxury to sit out. When consumers are locked in like this, there is no motivation for healthcare providers to drop their rates.