Curtis Harris
October 5, 2003
Solving real problems -- Some basics on health care
By Curtis Harris

The debate over health care in America, as currently conducted, is a waste of time. The debate has no foundation in fundamental human rights and basic common sense. There seem to be two sides to the debate. One side constantly pushes us towards socialized medicine, claiming 'health care for all' is the goal. The other tries to resist socialization by proposing market-based innovation that might accomplish the same goal. The problem is that neither side is being honest about their real motives. Those that push us towards socialized medicine use the current problems in our health care system in their quest to gain more power in the Federal government. They use the false promise of universal health care as a means to sway voters. The opposition knows the 'health care for all' goal is a pipedream, but is afraid to stand up and tell the truth. The idea that all people can have all the health care they need or desire, without regard to cost, is simply not possible. Yet that is the implied promise in the debate.

However, we, as a society, can create a health care system that provides a reasonable level of quality care to everyone and continues the progress of medical science. We must begin with some facts:

  1. Life, liberty, and opportunity (the pursuit of happiness) are human rights. They apply to every individual. Strength, intelligence, beauty and health are attributes of individuals. The individual variations in these attributes create unique individuals.

  2. Health care is like food, shelter and clothing. All are necessities of life. The supply of each is limited. The need for each is variable. Individuals produce the necessities of life in proportion to their abilities. Free markets resolve the supply/demand imbalances by matching the limited supplies with the greatest demands.

  3. Individual people are responsible for providing the necessities of life to themselves and their immediate families. Responsible behavior by individuals promotes good health and limits requirements for health care. Beyond that, individual and family wealth determines the supply of health care available to meet their needs.

  4. Societies choose the kinds and levels of health care entitlements to provide a safety net for all citizens. Societies also choose the methods to provide the services necessary to meet the safety net obligation.

The debate starts at Point #4. At one extreme, the society could leave health care up to individuals, families and private charity. Assuming a modern and prosperous society, this completely private sector approach would provide for a great deal of the need, but there would be too much variation and inefficiency in the application of resources. At the other extreme is socialized medicine, in which the government controls the health care system and all members of the society are entitled to care without regard to the individual's lifestyle as it relates to health or the individual's ability to pay for health care services. Socialized medicine eliminates liberty, opportunity and responsibility from the health care system. As a result, there are no natural rewards for innovation or controls on demand for services. History proves that any society that eliminates free markets and sets rules to manage the supply and distribution of the necessities of life has failed. Health care is no different. Societies that use socialized medicine control their costs by limiting the opportunity of health care innovators and controlling the supply of health care. Look at France, the United Kingdom, Canada and our own Medicare system as examples.

A solution exists somewhere between these two between those two extremes. Before creating the solution, our society must face some painful realities that follow from Points #1, 2 and 3 above. Life is not fair. Death is inevitable. Bad habits, bad diets and irresponsible behavior in many cases cause or exacerbate health problems. People and companies are in the health care business to make money. Every individual has an economic value to society. Society must make moral and economic choices when determining health care entitlements. For example, using public money to provide a liver transplant to a chronic alcoholic is like funding the construction of a road that goes nowhere. On the other hand, making sure that poor children get adequate health care is an investment in the future. Finally, the health care solution must recognize that there is ample proof that free markets optimize the use of available resources and drive the creation of additional capabilities. The many and complex payment systems, coupled with partial socialization due to Medicare/Medicaid, block or dilute the operation of free market and supply/demand dynamics in our health care system. Real improvements to our health care system will establish better links between patients and providers so that free market principles can operate for the benefit of all.

The American people's wealth and compassion provide health care to people in need. Private charities provide funding and services, as do government programs, although with the additional costs of overhead and regulation. As a last resort, paying customers subsidize the care of others through the higher insurance premiums and co-payments. In other words, today's delivery of health care services lacks efficiency and effectiveness. Change is necessary. In the debate over changes to our health care system, those people that seek more government power for themselves and less freedom of choice for patients and health care providers exploit human compassion to disguise their agenda. Those who oppose them must tell the truth — compassion must be balanced with good judgment, and socialist solutions have never worked. By using free markets and common sense, we can make sure there is a net benefit to our society when we tax some people, in whatever form, to provide health care for others.

These changes require bold leadership. We must replace today's entrenched politicians with citizen legislators who can solve real problems.

© Curtis Harris

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