The United States Does Healthcare Really Weird

Robert H. Frank, an economics professor at Cornell, writes in his New York Times column writes that Obamacare needs everyone in the risk pool in order to avoid the problem of adverse selection.

We must ask those who would repeal Obamacare how they propose to solve the adverse-selection problem. That problem is not an abstraction invented by economists to justify trampling individual liberties. As experience in most countries around the world has confirmed, it is a profound source of market failure that renders unregulated insurance markets a catastrophically ineffective way of providing access to health care.

I am not an expert on the Obamacare reforms, but it is truly unique (I’m thinking of the GOP here) to think that people without jobs or pre-existing health conditions shouldn’t have access to some basic level of health insurance.

It is also fascinating at lobbying has played out with respect to medical insurance cost management rules. In some hospitals the in-house insurance assessor has more input into medical decisions than doctors because of the ridiculously high cost of procedures to ping Medicare or health insurance providers for the most they can.

It is interesting too how some employers are trying to move as many people onto part-time hours or avoid having more than 50 full-time employees so that they can avoid company wide plan obligations kicking in!

The United States does healthcare really weird, I’m glad New Zealand has a less crazy healthcare and accident insurance system. That’s not to say that there isn’t room for improvement though!

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