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Medical Central Planning

Ai: government never sleeps and always finds ways how to help people…

written by William Anderson

Not surprisingly, Paul Krugman is excited, and so is the Obama administration. The government, with the help of the medical industry, is going to contain health care costs. Wow! I’m shocked! Why hasn’t anyone thought of that before?!?

The Great Nobel Laureate lays out the plan:

In his previous job, as the director of the Congressional Budget Office, Mr. Orszag argued that America spends far too much on some types of health care with little or no medical benefit, even as it spends too little on other types of care, like prevention and treatment of chronic conditions. Putting these together, he concluded that “substantial opportunities exist to reduce costs without harming health over all.”

Sure enough, the health industry letter talks of “reducing over-use and under-use of health care by aligning quality and efficiency incentives.” It also picks up a related favorite Orszag theme, calling for “adherence to evidence-based best practices and therapies.” All in all, it’s just what the doctor, er, budget director ordered.

…We have seen how the “single payer” systems “cut” costs: they deny care. What Krugman fails to point out is that he wants the entire medical system to be controlled by risk-averse bureaucrats. This will “cut” costs, no doubt, as healthcare will shift from being oriented to consumers (or at least semi-oriented) to being oriented to bureaucrats and the suppliers of care. The ramifications are obvious, but Krugman also knows he won’t have to worry about being subject to the rules that the rest of us will face when KrugmanCare comes into being…

read full article here on Mises.org blog

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