That Op-Ed is half right. He correctly states the reality that market economics are not a good fit for the health care market but heās wrong about why. He tries to get at the why but heās looking at things legally (being a lawyer) rather than economically. He blames the insurance companies, correctly pointing out that for-profit insurance is a bad fit for health care. He then tries (I donāt really follow his logic) to blame the employer based system we use, but he misses the elephant in the room: the need for health care is NOT flexible. Unlike other goods and services, where failing to get a new iPhone wonāt kill you, failing to get the health care you need CAN kill you. The fancy economic term is inelasticity of demand.
The author of the Op-Ed misses this. Instead he says:
"As a result, most Americans have their insurance chosen for them by a middleman.
This distortion dramatically limits consumersā ability to use the free market to their advantage"
So he misses the larger point: if you somehow āgiveā consumers the ability to buy insurance on the free market instead of getting it through employment thatās going to make things better? NO. Anyone who has tried to buy insurance on the individual market pre-ACA knows that the free market for health care for individuals was NOT an advantage.
The bigger issue is that market forces are not a fit for health care, PERIOD. Market forces are the best economic tool we humans have figured out thus far, but like any tool, it does not fit every scenario. The only methods to deliver health care effectively for the bulk of the population require very significant government intervention either harnessing the market with a multi-payer Swiss Model system, or partially/fully replacing the market with single payer or nationalized health care.
No effort to āgive consumers more choicesā is going to work b/c the one big choice in health care, the choice to live or die, is NOT FUCKING NEGOTIABLE. Jesus wept.
Itās simple. The need for health care is not flexible; health care demand does not have the flexibility required for a health market so we should STOP FāING TRYING TO FORCE MARKET FORCES TO WORK. They never will, unless they are systematically harnessed as in Germany, or Singapore, or (wait for it) the ACA.
The ACA, or an overall similar system is the most market oriented solution that will work. Anything less just gets crushed by the iron reality of inflexible demand.