As I See It Americans have killed managed care Joe D. Jones, CPA MBJ Publisher Managed care has failed. It was with us briefly and is now destined to fade away into the elephant graveyard of failed endeavors. The American public has decreed that the cure was worse than the disease. Whether we end up with the milder Republican version of the patient bill of rights or the stronger Democrat version, managed care is on the ropes and the referee is counting.
Health care is provided in a unique environment wherein there is no consumer.
Customers yes, but consumers, no. Health care providers traditionally have no incentive to keep costs low since insurance pays the largely unquestioned tab. The circle is unbroken since the employer typically passes along the increased health insurance cost to the general public through increased prices. Managed care was an attempt to interject a consumer into the health care cycle. Interestingly enough, the whole problem goes back to the socialization of the income tax code.