Rich Brents writes in today’s Mises Daily:
In other, more free markets where government interference has the potential to impact prices, we see far less of the price inflation evident in the health care industry. When the minimum wage was raised nearly 40 percent from 2007 to 2009, we didn’t see a commensurate rise in prices from those industries most impacted by the change. The fast food industry, for example, might have been able to raise prices to compensate for the higher minimum wage, but any significant increase in prices would have sent consumers to more cost effective alternatives.
The fact of the matter is that government regulation and intervention have long been pervasivewithin the health care industry. Little of this is mentioned in Mr. Brill’s argument, presumably because he finds convenient the tired claim that greed is the source of all economic woes.