Thoughts on Health Care Reform
29th October 2009
Steve Landsburg isn’t afraid to ask the hard questions.
1. Insurance is not part of the solution; it’s part of the problem. Many people—and especially poor people— get too little health care in this country. That’s largely because many other people—and especially rich people—are overinsured. People with insurance demand more health care, which drives up prices. More insurance coverage will make this problem worse, not better.
3. A public option can only make things worse. A government run insurance system can only do one of two things: Mimic the private insurers, or do something different. If it mimics the private insurers, it serves no purpose. If it does anything different, it can only be worse.
After all, what can it do different? Approve more claims? But where will the money come from? Higher premiums? But we’ve already agreed that if people wanted that kind of insurance it would already be offered. A more efficient bureaucracy? But if there were a way to save money by streamlining the bureacracy, why wouldn’t all those greedy private insurers have adopted it already? Does anyone believe that the major insurance companies are too lackadaisical to make an easy extra buck?