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16.7.09

Healthcare reform debate

How can proponents and opponents of the president's healthcare reform proposal make the same claims about the advantages of their preferred approach? Because the only structural difference between them involves the inclusion of the federal government among the competitors in the health insurance market. There are no proposals in Congress for a government run healthcare system. Democrats and Republicans are committed to the private market for health insurance. A government run system (i.e. socialized medicine) is not favored by the Democratic Party. It is an approach favored by social democrats, not Liberal Democrats.

Why do both sides make the same claims about their preferred approach?

Prponents of a public insurance option can claim that patients would have more choices and less hassels because the government plan would increase competitve pressure on all health insurance providers to be more responsive to their customers (i.e. patients). Opponents of the public plan option can claim that it would put government bureaucrats between them and their doctors because all insurance companies get between patients and their doctors when they deny a treatment option, or require generic drugs over name brand drugs even if the doctor prescribes the latter. So, since the government will be insuring those who chose the public option, it will be intervening in patient care. Making all the big brother fear mongering at least plausible.

The question is: which big brother are you more afraid of, insurance company bean counters or government bureaucrats? The President's proposal wouldn't prevent all abuse from either one of these unpleasant characters (or characitures). Instead it would increase your choices as a consumer in the health insurance market and force all insurance companies (public or private) to work harder at earning and keepiing your business.

I wonder how long it will take proponents to make their own commercials with the same scripts as the opponents of the public option in which the government bureaucrat is replaced by the private insurance company bean counter?