Health Insurers Making Record Profits as Many Postpone Care

The headline misleads. It suggests that insurer’s profits are coming at the expense of consumer’s health care. Yes, statists view economic actions as one party benefitting at another’s expense. That is true in centrally planned industries and economies, so maybe the article has some validity. But it also shows the folly of central planning. Industries that serves customers benefit from voluntary exchange: customers decide to buy their stuff because they want to, and producers focus on customer satisfaction, not politicians’ satisfaction.  That is how other industries operate.  Why is health care different?  It is not, except for the fact that politicians have tried to treat health care as somehow different from other industries.  It is subject to supply and demand, profit and loss.

One good thing to come out of this situation is that consumers are realizing that health care is not so different from other products and services. Health care cost money to provide, and central planner’s claims to the contrary don’t hold up.

Here.

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