A few tenants for lowering price and increasing quality:
1. price decreases with full information
2. quality increases with full information
3. the less middlemen and more direct choice normally decreases price and increases quality
4. buyers need the freedom to choose whom they buy from when given full information
Reading the current (and seems to be final) healthcare bill it seems that the Dems have managed to craft a bill that’s not helpful to anyone. Unless the Washington Post missed some major points, the insurance exchange and allowing insurance companies to provide national policies seem to be the only real value-added activities.
Hell, even the socialist government intervention (yet probably needed moves) of making it illegal turn down people with pre-existing conditions won’t come into full effect until 2014. Sorry folks, you’re screwed for four more years. I do wonder how the Dems will blame the Republicans for that little provision? Considering the GOP has been – and let me be clear – completely useless in this debate, it just seems like a stretch.
The first steps in solving this very real problem could have been written on the back of a napkin.
1. A national website showing the price of all procedures at all hospitals and clinics. Need an MRI in 75035? Search online.
2. The same website (with 800 number for those who don’t have web access) also shows reviews and feedback ratings on the doctors, and people doing the procedures. Five stars to one star. Mrs. M and I won’t buy a leaf blower without checking reviews but when it comes to medical activities – it’s a big black box.
3. Insurance – if we need them – then rewards (pays more) to those practices and hospitals that hit the balance between high quality care and low price.
4. Provide incentives for states to start their own co-ops so there are more insurance choices. We probably need to incentivize everything from government run to something liaise-faire to see which one really works. [real answer is to start phasing out insurance so you and I can argue over prices ourselves but I’m trying to stay somewhat realistic here]
5. Market exchanges, stuff mentioned as a decent idea above
There’s probably a few more needed ingredients but the above points seem essential. Healthcare, like car insurance, needs to be more market and less government. Sure, there’s a need at the bottom for some more assistance. I get that and to a lesser extent agree – so why not just expand Medicaid or Medicare?
It just seems, from first reading, that all this debate on the correct approach has delivered a camel rather than a well developed horse. We shall see what the future holds. Mrs. M and I have a exit strategy, do you?