Price and Quality in medical setting
Posted by BCRinFremont 5 years, 5 months ago to Economics
I saw a news item today about requiring hospitals to disclose prices and I began preparing a long and drawn out economic analysis of price, quality, and results expected. Instead of posting what could be a doctoral thesis in economics, I would like to present a small template to the masters in Galt’s Gulch and see if anyone will end up where I ended up. Here goes!
Let it be given that healthcare is a Right. (Analysis without this “given” is also acceptable and maybe necessary.) Please address the following 4 scenarios:
1. High priced care with bad outcomes.
2. Low priced care with bad outcomes.
3. Low priced care with good outcomes.
4. High priced care with good outcomes.
The question posed is, “How will a healthcare system settle starting with equal amounts of these 4 types of care?”
This is kind of like determining the number of rabbits it takes to have a healthy fox population.
Let it be given that healthcare is a Right. (Analysis without this “given” is also acceptable and maybe necessary.) Please address the following 4 scenarios:
1. High priced care with bad outcomes.
2. Low priced care with bad outcomes.
3. Low priced care with good outcomes.
4. High priced care with good outcomes.
The question posed is, “How will a healthcare system settle starting with equal amounts of these 4 types of care?”
This is kind of like determining the number of rabbits it takes to have a healthy fox population.
