I believe the best method for allocating healthcare dollars is by medically necessary costs. The free market should only be used for non-medically necessary cost such as cosmetic surgery. For medical necessary healthcare the decisions should be made by the patient assisted by the doctor. Costs should not be a determining factor. Government's role would be the same as it is now, to review treatment costs. Where treatments fall outside medically recommended guidelines or for certain procedure, advance approval would be required. This is exactly what insurance companies, Medicare, and Medicaid do today.