The American health care whistleblower

Well, of course, how you take this will depend upon your pre-existent view of Michael Moore:

\”The Michael Moore movie that I saw was full of truth,\”

Makes me think that this whistleblower is full of c**p actually.

Of the industry\’s income:

A lot of that money also goes into contributions to politicians of both parties – $372m in the past nine years

And anyone seriously thinks that more involvement of politicians in how health insurance works is going to reduce that number?

There\’s a missing piece of economics here too:

What is Obama\’s solution?
Obama has asked Congress to draw up a government option, allowing all Americans to get some sort of cover. The sheer size of the state plan should theoretically allow it to drive down costs by economies of scale.

Doesn\’t anyone remember that there are also possible diseconomies of scale? Ones that might possibly kick in if you try to put 16% of the world\’s largest economy into one centrally directed system?

3 thoughts on “The American health care whistleblower”

  1. When the left talk of “economies of scale” they are using it as an excuse for centralisation and control. When the left start speaking in business and economic jargon be very worried – they are after more power.

  2. As you say, big is not necessarily beautiful or efficient. And we should also remember that, broadly speaking, economies of scale drive down costs but not necessarily prices; competition drives down prices. If the objective is to enable consumers to satisfy their wants as cheaply as possible, then competition is more important than scale. If the objective is to patronize organizations (private or public) at the expense of their clients, then you allow competition to be reduced in the name of “economies of scale”. That makes the interventionists on both sides of the water and in parties of all shades, who are doing the latter all over the place despite claiming to want the best for the consumer, either ignorant or corrupt. Probably both.

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