Monday, August 31, 2009

Four Questions About Healthcare

I have been trying to follow the healthcare debate. However, most of the coverage seems to be about people shouting at town hall meetings. Here are a few questions that I can't seem to get answers to.

1. Does the bill reduce costs? The healthcare bill is supposed to reduce the cost of healthcare. However, I have seen estimates from the Congressional Budget Office that it will cost anywhere from $597 billion to $1 trillion. Are you really reducing costs if you are just shifting them to the taxpayers?

2. Does the bill do anything to encourage healthcare practices that work? From what I have read, places like the Mayo Clinic in Minnesota and Scott & White in Central Texas do an excellent job of containing costs. However, I haven't heard anything about whether the bill encourages these kind of practices.

3. Does the bill increase government control over our lives? From what I have heard, the bill requires everyone to get health insurance or pay a fine. Also, while the impact of the end of life counselling provisions has been greatly exaggerated, my understanding is that the bill makes these sessions mandatory. How much freedom are we giving up in the name of healthcare coverage?

4. What is up with the public option? Democrats make a big deal about having a government sponsored healthcare option. At first blush, it sounds like a good idea. After all, competition and more choices are generally good. However, I have heard that the other side is that a government subsidized public option would have an unfair advantage over private insurers (who don't have the benefit of government funding) and would eventually drive private insurers out of the market. Does the government have the expertise to design a public option which would compete on an equal footing with private insurance? Is the public option intended to compete with private insurance or drive it from the market?

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