Nearly everyone agrees that some reforms are needed. But it is also vital to protect areas of excellence and innovation. Stanford University professor Scott Atlas points out that from 1998 to 2002 nearly twice as many new drugs were launched in the U.S. as in Europe. According the U.S. Pharmaceutical Industry Report, some 2,900 new drugs are now being researched here. America's five top hospitals conduct more clinical trials than all the hospitals in any other developed country, according to Mr. Atlas. And a McKinsey Co. study reports that 40% of all medical travelers come to the United States for medical treatment.These are some of the costs--the unanticipated consequences (diminished drug research)--associated with a single-payer system.
Where's the incentive to develop new drugs if there is no profit to be made? If government is going to pay for research & development of new drugs, well, how is it going to pay for it? And if government does pay for it, who decides which drugs to develop?
When healthcare is rationed, so is R&D for life-saving drugs. And when government controls the R&D decisions, then government picks the R&D "winners."
Who donated the most to a powerful Senator? Here comes your funding. What is the hated disease de jour? Here comes your funding.
Unlike the millions or billions made when government picks the winners (and bankruptcy for the losers) in a financial crisis, in this instance, the losers die.
If you have tips, questions, comments or suggestions, email me at email@example.com.