All Commentary
Monday, January 10, 2011

Contenders Struggle to Shape Obamacare

“The new health-care law encourages doctors, hospitals and insurers to team up in treating patients, but these groups already are at odds as they urge the government to set rules protecting their financial interests. At issue are ‘accountable care organizations,’ which the Obama administration hopes will spring up around the country…. The goal is to impose efficiency on a health system that now fosters disjointed and excessive medical care, driving up costs…. But the ACO concept … was written broadly. Lawmakers left it to regulators to figure out how to put the provisions into practice. The Centers for Medicare & Medicaid Services must flesh out many issues: Who can run an ACO? How are Medicare patients placed in ACOs and informed of these new arrangements? How is the caliber of care judged, and how will bonuses be awarded? What prevents these networks from becoming so large that they can dictate prices to private insurers?” (Washington Post)

“The goal is to impose efficiency.” That says it all.

FEE Timely Classic
“Modernization and Central Planning” by E.C. Pasour Jr.