Health Economics 101

http://journals.democraticunderground.com/Time%20for%20change/264

This is a great article, written by a physician, that summarizes the problems with America's health care system. He also addresses some of the plans put forth by both Republican and Democratic candidates.

It is interesting in that he essentially endorses Kucinich's single-payer, not-for-profit, universal health care system (Medicare for all), by saying that it will create the best results for all people. Yet, he says it is not "politically viable", in that the private health insurance companies and pharmaceutical companies will use their financial power to ensure that a government-run system does not become a reality.

"The reason why the U.S. health care system is so expensive yet inferior to that of most developed nations

"There is a single cause that underlies most of the excessive cost of health care in the United States, as well as its inferior quality. That cause is the fact that most health care insurance in our country is supplied by private corporations.

"The main goal of private insurance corporations in the United States, as with all corporations, is to make a profit. They attempt to increase their profits in two ways that result in reduced health care: They attempt to withhold health insurance from unhealthy people, and they refuse to honor health care claims from their insured clients whenever they can get away with it."

Political Barriers to Universal Health Care:

"Before considering what an ideal universal health care system would consist of it is worth while to consider the political barriers to a government sponsored universal single-payer health care system:

"Insurance corporations
Insurance corporations make huge profits out of the current health care system. Every American who receives health insurance directly from the government (as in Medicare or Medicaid) represents reduced profits for insurance companies. Consequently, insurance companies are bound to provide fierce political opposition to any plan for increasing the government role in directly insuring people. They were a major factor in the defeat of the Clinton health plan in the 1990s.

"Pharmaceutical corporations
Pharmaceutical corporations also make huge profits out of our current health care system. U.S. citizens pay much more for prescription drugs than do citizens of other developed nations. An accountable U.S. government that supplied health insurance directly to its citizens would be likely to put an end to the excessive costs of prescription drugs in our country because it would have the power to bargain down prices."

-peace-