ICYMI: ‘Don’t Fall For Another Health Care Magic Trick’
Apr 29, 2021
DENVER – As state lawmakers seek to push forward House Bill 21-1232 – which would create an unaffordable new government-controlled health insurance system known as the state government option – The Colorado Springs Gazette editorial board writes, “state politicians want to resolve all health care woes” and “as usual, they won’t come close and will do more harm than good.”
A ‘new compromise’ version of the state government option bill – which continues to have broad opposition from health care providers, doctors, economic experts, business leaders, carriers, unions, small business owners and skilled workers – is a proposal of serious consequence to Coloradans and “one must suspend a relationship with reality to see this compromise as anything other than harmful,” states the editorial board.
The board highlights, “if health care providers do not agree to simply lower prices by some impossible, collective fiat among competitors” then it means “the state will do it for you by force.”
“It is a glorified government price-fixing scheme and will have the same effect as all government price caps. It will harm consumers and make health care less available to those least able to afford it. We do not get more of anything by paying people less to produce it,” continues the board.
The board adds, “Politicians must know the ultimate hardship this bill would impose because price controls never work … Whether Republican, Democrat, conservative or liberal, most economists agree.They tell us and show us how price controls interfere with the delicate balance of supply and demand by creating disincentives to produce for demand. It works the same for all goods, services, and commodities. The principles of supply and demand do not care if the target of a price mandate is important (think health care) or trivial (think fidget spinners).”
The board warns, “If HB 1232 becomes law, individuals health care providers of all kinds will find every means possible to avoid providing services that don’t pay for
themselves, let alone generate a profit. They will gravitate toward segments of the market that help pay off medical school loans and the consumer debts incurred when health care reimbursements were not forced down by an unfunded government edict. More physicians will retire early, as they have each time government has interfered in how they conduct their practices.”
The board states, “When health care providers inevitably escape serving the individual and small group markets, people in those demographics will suffer the most.”
The board concludes, “Price controls benefit politicians at a cost to the constituents they pretend to care about. Don’t fall for the sleight of hand. Tell them to scrap House Bill 1232 and find a way to provide more health care, not the reduction in care this bill would certainly cause.”
- To read the full editorial in the Colorado Springs Gazette, CLICK HERE.