efficiency is not really what I look for in a restaurant.....

I'm back to my recent research into health care pricing. It's mostly very
very difficult to find out what a test or procedure costs so you can't blame
employer-paid health care for driving up costs.

On Fri, Sep 4, 2009 at 10:36 AM, Gruss Gott <[email protected]> wrote:

>
> > Scott wrote:
> > I'd like to think that even someone who gets his news from Comedy
> > Central can see the subtle, yet important, differences there.
> >
>
> Well only you know if you understand a market economy, but your
> "distinction" isn't quite right because it ignores the market.
>
> In other words, if you want to buy dinner at a restaurant the market
> has provided everything from McDonalds to Charlie Trotters.
>
> YOU - if you're an rational informed actor - decide what the *meal* is
> *worth* to YOU.
>
> The key is that the meal is priced by the market via its packaged
> *value* to you.
>
> In other words, you're not paying the cost of production, or an hourly
> rate.
>
> If you were, the restaurateur would have little incentive to be
> efficient since you're footing the bill for inefficiency.
>
> The goofy thing with healthcare is that the patient footing the bill
> for inefficiency BUT THROUGH INSURANCE!
>
> So not only does the patient not know the value, but they also don't
> know cost of production.
>
> In that way the current healthcare system is the absolute worst
> possible system that could exist.
>
> 

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