Friday, August 21, 2009

Do We Want Government In the Healthcare Business?

Where do people go to obtain cutting edge, state of the art healthcare? More than any other country, the answer is the United States. That healthcare is expensive. Not everybody can afford the most sophisticated care or the newest drugs. That makes some of the rest of us feel that we are being treated unfairly. But the medical care and medicine we get today was cutting edge & state of the art several years ago. Where would we be if those technologies & drugs had never been developed?

There will always be inequities in the world. Some of us will always have less and some of us will always have more. That isn't fair, but that is life. The trick is to address the needs of those who need help without inhibiting the system that develops the kind of medical treatment people come from around the world to get.

The biggest thing you can do to inhibit that innovation is to make the government an insurer. As Lord Acton said, "power tends to corrupt, and absolute power corrupts absolutely". Making government both the rule maker and the provider in the medical care arena, gives government all the power with little opportunity to check it. With government in the game as an insurer, private insurance will, over time, be crowded out of the market. That would leave you and me with only the government as our insurance company. When the government is in charge they will have a conflict of interest. On the one hand, they will be providing benefits for the country's healthcare, on the other hand, they will be responsible for all the costs. We are already doing this with Medicare, and Medicare underpays to the extent that many doctors will not take on any new Medicare patients. I heard one doctor recently say that his net profit on each Medicare patient is $4 per visit. that kind of profit will not permit the innovation that will cure cancer or diabetes.

There is much in the healthcare system that needs fixing. But the current bill before the House is not the only way to fix it. Don't let anybody convince you that it is their way or the highway. We can fix healthcare without a government option.

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