Cost Control and Health Insurance Mandates
Tyler Cowen–famed economist from George Mason and one of my favorite bloggers–has an excellent NY Times column laying out why current reform efforts won’t work. As he points out towards the end of this piece, mandating health insurance won’t alleviate the root of our health care problem–out of control costs. Over the past decade, health care costs have risen on average more than 8% each year. Such growth is unsustainable and unfortunately providing insurance for all Americans (no matter how it is accomplished) will not address this problem. The current administration and Congress are racing forward with the intent to do something on health care reform, but they are targeting the wrong problem. Even more worrisome is the fact that the “solution” they likely will put in place will saddle future generations with an unsustainable entitlement program that will be ten times more difficult to deal with.