Healthcare And Education

Their similarities:

The parallels are obvious: In both fields (1) we have systematically suppressed normal market forces; (2) the entity that pays the bill is usually separate from the beneficiaries of the spending; (3) providers of the services see the payers, not the beneficiaries, as their real customers and often shape their practice to satisfy the payers’ demands — even if the beneficiaries are made worse off; (4) even though the providers and the payers are in a constant tug-of-war over what is to be paid for and how much, the beneficiaries are almost never part of these discussions; and (5) there is rampant inefficiency on a scale not found in other markets.

The full post can be found here.

60 Responses to “Healthcare And Education”

  • But at least in secondary education you’ve had a huge move away from public subsidy. So it’s become much more like private education, right? Check graphics here (I don’t necessarily agree with what is written here, but the graphics are useful).

    Do you like what you’ve been seeing in secondary education over the last few decades with the massive increases in tuition and fees? Start saving now for your youngster. You’ll need probably 3 or 4x what it cost you. Only the super privileged or super gifted can graduate without a mountain of debt today and it’s getting much worse.

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