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6 sats \ 3 replies \ @Undisciplined OP 7 Nov \ parent \ on: How the Government Created Exorbitant Insulin Prices econ
There are some other mechanisms that have to do with the badly distorted price system.
It's been a while since I went through the details, but there are basically a lot of completely fake prices in American medicine. These phony prices are enormously greater than what anyone actually pays and they enable large tax write-offs and greater nominal profits.
There are a bunch of great episodes of Econ Talk on the subject.
One of the extras in the prices to hospitals is that they have to supply services to people who cannot pay. So they raise the prices to those who can pay (with and without insurance). Socialism in action.
Three cheers for Obama care!
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There's a socialism element there and a grift. They get to write off the costs of the services that they provided for free. They also negotiate their prices down with everyone who can pay (usually through their insurers). That's what I mean by the prices all being fake.
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Yes, they will not advertise prices for comparative purposes, either.
To me it looks gritty and like cronyism all round.
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