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The New Yorker: The Moral Hazard Myth

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The New Yorker: The Moral Hazard Myth
Topic: Miscellaneous 9:30 pm EDT, Sep  6, 2005

Americans spend $5,267 per capita on health care every year, almost two and half times the industrialized world’s median of $2,193; the extra spending comes to hundreds of billions of dollars a year. What does that extra spending buy us? Americans have fewer doctors per capita than most Western countries. We go to the doctor less than people in other Western countries. We get admitted to the hospital less frequently than people in other Western countries. We are less satisfied with our health care than our counterparts in other countries. American life expectancy is lower than the Western average. Childhood-immunization rates in the United States are lower than average. Infant-mortality rates are in the nineteenth percentile of industrialized nations

The counter point to this perspective usually consists of "sick people aren't my problem" or "wealthy people get more convenient healthcare in the US then in Canada." I am constantly amazed to talk to Americans who actually beleive that Canada is a socialist country. This spin is the product of Rush Limbaugh's rantings during the Clinton years. "Socialism is bad, right? Thats what the communists did, and they were evil!"

The American healthcare system is both heavily regulated and wealth redistributed. Its just as socialist as anyone else's healthcare system. But it has the additional feature of generating a class of people with serious medical problems who are too sick to work and therefore don't get to participate in the wealth redistribution. Oh, and its more convenient for the wealthy because they never have to wait in line behind someone with a more serious problem unless they are at an ER. And its a hell of a lot more expensive.

Gripping onto a ideology for ideology's sake while it is literally killing you seems the very definition of irrational behavior. On the issue the United States is like the last guy back in the hood in New Orleans, sitting on his couch with a foot of standing water in his living room, slowly succumbing to the E.Coli because its his damn town and he'll be damned if he is gunna leave, even after everyone else is long gone...

Sounds like the Administration wants to get up off the couch and go for a swim. Don't worry about Europe hating us. If we keep going down this path they'll be laughing at us instead.

The New Yorker: The Moral Hazard Myth



 
 
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