Mt. Vernon Register-News

Opinion

May 1, 2014

Single-payer system won't save U.S. health care

A few weeks back, I wrote a story on Vermont’s adventures in single-payer health care.

“So this is going to be expensive. So expensive that I doubt Vermont is actually going to go forward with it,” I concluded. “This should be instructive for those who hope — or fear — that Obamacare has all been an elaborate preliminary to a nationwide single-payer system. It isn’t. The politics are impossible, and even if they weren’t, the financing would be unthinkable.”

I was inundated by complaints from proponents of more government intervention in the health-care system. Permit me to summarize the many individual exchanges I had with these interlocutors.

“Why are you ignoring all the evidence that single-payer works?” they demanded. “If single-payer is so expensive, how come America spends twice as much as civilized nations, for worse outcomes?”

“Good question!” I responded. “I will do a follow-up post to explain why single-payer doesn’t magically transport us to the land of cheap health care.” This, as you may already have guessed, is that post.

Let’s start with where they are right. The U.S. spends a lot more on health care than, well, anyone else:

There is indeed a strong, though not perfect, correlation between how rich a country is and how much it spends on health care. But that alone can’t explain why we spend so much:

The implication that many people draw from this is that the U.S. could realize fabulous savings from switching to a government-run health-insurance system. But wait:

Well, let’s think about the general theories of why government makes health care cheaper. The first idea is that you get big discounts for buying in bulk. Because governments cover a lot of people, they can negotiate the best prices, which can’t be matched in America’s fragmented market.

Text Only
Opinion
  • Fear indifference ‘Perhaps the Catholic church would volunteer to pony up some cash for the illegals’ care then? Hmm?”“Pope should stay out of it. Matter of civil laws, not church laws.”“Thinking that the pope should want the illegals to go to Argentina to get better

    July 25, 2014

  • A push for felon voting rights If advocates have their way, voting rights could be a new reality for the nation’s incarcerated.Full voting rights for felons is as hot a topic in Washington as voting rights in reverse pushed by voter-ID-tickled Republicans. But with new legislation

    July 25, 2014

  • Big insurers need better oversight Could Warren Buffett’s Berkshire Hathaway Inc. threaten the stability of the financial system? The U.S.’s top regulators are asking themselves this question as they consider whether Berkshire and other large insurers should come under Federal Reserve

    July 25, 2014

  • Questions for Obamacare after the ruling Tuesday, I outlined what we knew about Halbig v. Burwell, the case in which a federal appellate court ruled that subsidies for purchasing insurance under Obamacare can only be made available on marketplaces established by states. Now I propose to out

    July 24, 2014

  • Pensions not the problem I see in last night’s Register-News paper that James Rippy has attempted to enlighten us on pensions in Illinois. I also notice he has written so often he no longer has the title “guest columnist.” It is obvious he has the time and energy to work on

    July 24, 2014

  • Impasse threatens border solution After more than a year of contentious debate, could Congress be any more divided over the issue of immigration? The answer is yes.In the House, positions are hardening over what to do about the tens of thousands of families and unaccompanied young im

    July 24, 2014

  • Take a lesson from Texas I like to eat at blue-collar diners and cafes, particularly when I’m on vacation.It’s a chance to step beyond the homogenized national chains and experience a bit of local flavor.And being a reporter, I like to chat up local folks to find out a bit a

    July 23, 2014

  • The future reality of terrorist drones A very small airplane rose over the Gaza Strip last week. It entered Israeli airspace and sped toward the coastal city of Ashdod. Then a Patriot missile blew it up.The plane, a rudimentary drone launched by the terrorist group Hamas, posed little thr

    July 23, 2014

  • We are headed to a jobless future In an op-ed in The Wall Street Journal, former Treasury Secretary Lawrence Summers revived a debate I’d had with futurist Ray Kurzweil in 2012 about the jobless future.He echoed the words of Peter Diamandis, who says that we are moving from a history

    July 23, 2014

  • Pensions need to be addressed I will have to admit that I am slightly overwhelmed today with the receipt of articles and suggestions for a column. One of my Fitness Mafia colleagues constantly tells me the columns are too long and trying to address different subjects just dilutes

    July 22, 2014

Twitter Updates
Facebook
Stocks