Our Overly Medicated Society
14 05 2008There is a story on the AP Wire today, ”More Americans are taking prescription medications,” about a study that finds half of all Americans with health insurance are taking prescriptions for chronic conditions.
Two observations:
- As a culture, we are either slowly killing ourselves with poor dietary and lifestyle choices or we are over-medicated
- When we complain about the cost of health care, at some point the focus has to turn to our own behavior, whether that be our collective unhealthy lifestyle and diet or our gullibility as a society for the fear-based marketing efforts of the pharmacuetical industry
Good health care services needs to become a two-way process in our society. We get good health services, but we also must take some initiative to live in a way that prevents chronic disease.
Ideally, we get to that point by taking employers and government out of the health delivery process. I firmly believe that eliminating tax preferred status of employer-based health insurance will go a long way to achieving this goal.
The steps necessary for making us more accountable for our own health are:
- Give employer-based and individual health policies equal treatment with respect to taxes, encouraging development of a robust individual insurance market and will help to create price sensitivity in a market that currently does not have any.
- Nationalize insurance regulation. I am not advocating a new bureacracy, but rather allow consumers to by health policies from a plan regardless of which state the policy was approved. Insurance plans will flock to the least burdensome state, thereby lowering the costs to the consumer. This feature will also increase price sensitivity, and, therefore, reestablishing a traditional supply and demand marketplace.
- Substantially increase the maximum contributions allowable into Health Savings Accounts to encourage consumers to save and to allow each of us, over time, to effectively become self-insured.
- Allow the states and communities to create high-risk pools and health care services for those people not able to secure affordable individual or employer-based insurance. There will always be people unable to afford health insurance, no matter the cost, so we have to have a system to take care of “the least of these.” My preference is to meet this group’s needs through charitable operations rather than through government programs. Government programs have a tendency to remove the price sensitivty feature necessary for a functioning marketplace.
- Encourage citizens to pursue careers in those health care related fields where shortages exist by providing tax-favored status for those careers in areas (geographical or specialty) with identified shortages. Improving supply of health care services will ultimately reduce the costs of those services, especially if the price insensitivity is removed by implementing the other four items in this preliminary plan.
These ideas are nascent, so if you’ve got any comments on how to improve on them, I’d love to hear about them.
Tags : Economics, healthcare, insurance, Libertarianism, price sensitivity, supply and demand
Categories : Economics, Random Thoughts