Obama – To have one’s healthcare cake and eat it too (ignores economics 101)

“My preference would be that you don’t have to travel to Mexico or India for cheap healthcare,” he said in response to a question about why US health insurance won’t cover medical expenses incurred abroad.

“I’d like you to be able to get it right here in the United States of America that’s high quality.”

Obama also said that prices of prescription drugs must be brought down “so that you don’t feel like you’re getting cheated because you’re paying 30% more or 20% more than prescription drugs in Canada or Mexico.”

Number healthcare regulatory bodies in the US:

  1. Centers for Disease Control and Prevention
  2. Department of Health and Human Services (DHHS)
  3. FedWorld – US Government Information
  4. The Food and Drug Administration (FDA)
  5. National Center for Complementary and Alternative Medicine (NCCAM)
  6. National Center for Infectious Diseases (NCID)
  7. National Institutes of Health (NIH)

  8. National Library of Medicine
  9. National Science Foundation
  10. Office of Disease Prevention

Number of Mexican regulatory Bodies:

  1. Ministry of Health

Price is a delicate balancing act between quality, regulation, quantity supplied/demanded and research and investment. If you take away the dollars in a competitive market then one of the above has to be decrease. It’s that simple. Once the patents expire on drugs & techniques, you can’t blame greedy companies for fixing prices. At that point the market (and the government) decides the price.

TO DO: Sort them by relevance to price & quality. Research international patent laws. Research international research budgets. Plot growth in US regulatory industry within last few years.

Source:
US healthcare: Obama talks to curb medical tourism to India, HT Correspondent, Hindustan Times, Washington, April 20, 2011

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