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Matt McIntosh The mistake of Malthusian thinking was that it didn't take into account the power of smarts+markets to come up with ways of increasing productivity. But the combination of both is what's necessary to escape the Malthusian trap. If socialized healthcare becomes the reality, you'll be absolutely right.Email | Homepage | 07.31.07 - 12:37 pm | # |
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razib but most national health care systems have optional private sectors from what i know. so wealthy people can get extra value care, right?Email | Homepage | 07.31.07 - 1:04 pm | # |
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Matt McIntosh Yeah, but that doesn't have much of an effect on the overal structure of health care provision -- it's analogous to allowing private schools along with public ones. The important thing is how strong the incentives are to innovate and bring costs down on the supply side. If the government basically says "we'll take care of all the costs out of the public purse", then that goes out the window. You already see this to a lesser degree with employer-paid healthcare -- the reason the US spends more on health care than fully socialist systems is because pretty much nobody feels the costs of their medical expenses and thus feel free to get more (and more expensive) care at the margins. With a socialist system the costs become more centralized and thus there's more incentive to keep accounting costs down (this is where your original point comes in), but society pays for that in all the off-paper costs that inevitably come with socialism.Email | Homepage | 07.31.07 - 4:58 pm | # |
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c23 There's a lot of nonsense out there about Malthus. He did not fail to account for human ingenuity - if he had, he would have said that food supplies remain constant with time, when in fact he said that they rise arithmetically. You guys are thinking of Paul Ehrlich.Email | Homepage | 07.31.07 - 5:16 pm | # |
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razib He did not fail to account for human ingenuity - if he had, he would have said that food supplies remain constant with time, when in fact he said that they rise arithmetically.Email | Homepage | 07.31.07 - 5:25 pm | # |
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c23 No, he didn't, but that really doesn't matter. That's not the main reason why "SSBBW" is becoming a recognizable acronym and we're not eating 1200 calories/day. The demographic transition is.Email | Homepage | 07.31.07 - 8:42 pm | # |
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razib c23, thanks for the clarification. something to think about.Email | Homepage | 07.31.07 - 8:49 pm | # |
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rvman Malthus isn't necessary to justify this diagnosis. The true underlying problem is pure, uncontroversial, first week introductory microeconomics. When government pays for health care, those who use health care face a price of, essentially, zero. A casual look at supply and demand curves find an equilibrium at quantity where marginal benefit(following the demand curve) is equal to marginal cost(the supply curve) If price paid by the user is too low relative to supplier cost and ability to produce, the quantity demanded will, in virtually every real-world situation, exceed quantity supplied. Thus shortages and rationing. (Think Nintendos the first week they are released, gasoline in the '70s and in some places after Katrina, etc.)Email | Homepage | 08.03.07 - 9:30 am | # |
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Mary Scriver An example to study in this regard might be the Indian Health Service, which exists to respond to the Treaty obligation to provide universal health care for all Indians. Because it is persistently and continuously underfunded, it constantly does unacknowledged triage. More sympathetic people get better care. Local public drives to help finance private medical care for local children work pretty well, but not for adults. Major joint replacements are postponed for years which means that the patients endure much pain, limited movement, and resultant diabetes or alcoholism. Patients who come in with results of bad behavior such as trauma from fights, alcoholism or drug addiction are sometimes treated badly because of being "expendable" and they come to represent the whole Indian population thus justifying constant shortages of medical infrastructure: medicines, bandages, cleaning supplies, sufficient staff, weak or confused protocols, and so on. (Most people think of medicine in terms of doctors. Volunteer doctors who come in from "outside" often complain about 3rd World budgets and disorganization.)Email | Homepage | 08.04.07 - 7:46 am | # |
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Hans Gruber "No, he didn't, but that really doesn't matter."Email | Homepage | 08.07.07 - 1:27 am | # |
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