The Capitalist SOLUTION To TRULY Reforming Health Care

[Contumacious]

A Four-Step Healthcare Solution

Mises Daily: Friday, August 14, 2009 by Hans-Hermann Hoppe

It's true that the US health-care system is a mess, but this demonstrates not market but government failure. To cure the problem requires not different or more government regulations and bureaucracies, as self-serving politicians want us to believe, but the elimination of all existing government controls.



1.

Eliminate all licensing requirements for medical schools, hospitals, pharmacies, and medical doctors and other health-care personnel. Their supply would almost instantly increase, prices would fall, and a greater variety of health-care services would appear on the market.

2.

Eliminate all government restrictions on the production and sale of pharmaceutical products and medical devices. This means no more Food and Drug Administration, which presently hinders innovation and increases costs.

3.

Deregulate the health-insurance industry. Private enterprise can offer insurance against events over whose outcome the insured possesses no control. One cannot insure oneself against suicide or bankruptcy, for example, because it is in one's own hands to bring these events about.


4.

Eliminate all subsidies to the sick or unhealthy. Subsidies create more of whatever is being subsidized. Subsidies for the ill and diseased promote carelessness, indigence, and dependency. If we eliminate such subsidies, we would strengthen the will to live healthy lives and to work for a living. In the first instance, that means abolishing Medicare and Medicaid.

Only these four steps, although drastic, will restore a fully free market in medical provision. Until they are adopted, the industry will have serious problems, and so will we, its consumers.

 

[code1211]

A Four-Step Healthcare Solution

Mises Daily: Friday, August 14, 2009 by Hans-Hermann Hoppe

It's true that the US health-care system is a mess, but this demonstrates not market but government failure. To cure the problem requires not different or more government regulations and bureaucracies, as self-serving politicians want us to believe, but the elimination of all existing government controls.



1.

Eliminate all licensing requirements for medical schools, hospitals, pharmacies, and medical doctors and other health-care personnel. Their supply would almost instantly increase, prices would fall, and a greater variety of health-care services would appear on the market.

2.

Eliminate all government restrictions on the production and sale of pharmaceutical products and medical devices. This means no more Food and Drug Administration, which presently hinders innovation and increases costs.

3.

Deregulate the health-insurance industry. Private enterprise can offer insurance against events over whose outcome the insured possesses no control. One cannot insure oneself against suicide or bankruptcy, for example, because it is in one's own hands to bring these events about.


4.

Eliminate all subsidies to the sick or unhealthy. Subsidies create more of whatever is being subsidized. Subsidies for the ill and diseased promote carelessness, indigence, and dependency. If we eliminate such subsidies, we would strengthen the will to live healthy lives and to work for a living. In the first instance, that means abolishing Medicare and Medicaid.

Only these four steps, although drastic, will restore a fully free market in medical provision. Until they are adopted, the industry will have serious problems, and so will we, its consumers.

Replying to your points in order:

1. Of course licensing must continue, but pushing down the authority to act on behalf of a patient would be a good thing. In almost all cases of an office visit, an RN could do the job needed by the patient short of writing a prescription at this time. If an RN could write a prescription on consult from a Dr., this would greatly reduce the cost of most office visits.

By this approach, the supply would increase immediately with qualified proffessionals who are licensed and the quality of care would remain high.

Tort reform would be required for this to work.

2.Reduce the testing required for new drugs to the same levels used in the rest of the world. The USA currently requires many more years of testing than any other country in the world.

Tort reform would be required for this to work.

3. Regulate Health Insurance in the same ways that Auto or Home Insurance is regulated. Allow sale of Health Insurance across state lines and allow co-ops of individuals to form "groups" based on clubs or churches or schools or neighborhoods.

Tort reform would be required for this to work.

4. Elimination of subsidies to the infirm would defeat the purpose of any reform. However, like any group policy, membership in the group would guarentee coverage at equitable rates and, while increasing the rates for all other members, would effectively provide a subsidy while not defining it as such.

Group policies already do this so pregnancies are covered and knee replacements are covered. The delivered baby and new mother carry a far higher cost than the 23 year old single male so his premium expense rises while the new mother is allowed to participate at a reduced level of premium due by her elevated level of cost to the plan.

This would require a law passed at the national level and perhaps a Constitutional Amendment requiring Universal participation in group insurance.

You'd think our legislators could work this out without screwing the pooch the way they've been doing. Too bad we're governed by partisan hacks who don't understand anything that they are not bribed to understand.

 

[Contumacious]

Of course licensing must continue,

Because......

Elimination of subsidies to the infirm would defeat the purpose of any reform.

Once medicare and medicaid programs are eliminated the costs of a visit to a doctor will be reduced to 1965 Levels.

Secondly, nothing prevent you from writing a check payable to those YOU want to help.

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