There is a school of thinking that the state should not provide health care for the aging population, as this would be too costly and, due to limited resources, this is best left to the private market.
I disagree with this argument. With limited resources, it is important that the resources are used efficiently and not wasted. The private market allocate these resources to those who can afford to pay, but it is likely that the limited resources will be used wastefully, especially as the final allocation is also also determined by the profit earned by the medical profession.
If health care for the elderly is provided or paid by the state, there will be control over the unnecessary medical treatment, as they would be disallowed by the state. Private individuals are not able to know what is necessary or not, but the medical experts working for the state would be in a better position to make this type of decision on the optimal use of the state resources.
Even in America, the health care for the elderly is borne largely by the state. There is a need to prevent excessive consumption of health care by the elderly, but this is a challenge that has to be faced and overcomed. Pushing the problem to the private market does not solve it, as it will lead to worse outcomes.
Tan Kin Lian
- ► 2013 (348)
- ► 2012 (1270)
- ► 2011 (1873)
01/03 - 01/10
- New York Times: 31 places to visit in 2010
- Financial planning - learn before you leave school...
- Rubik Cube
- NSRCC: Planning your finances early
- Home purchase and financial planning
- Are home buyers prudent?
- Financial planning for a child
- Survey on pricing of HDB flat
- Asset enhancement
- Stabilising the market
- Improve transparency of prices of new HDB flats
- S'pore workers clock up longest work hours: ILO
- Practical Guide on Financial Planning - additional...
- Creative destruction - mobile phone and financial ...
- TKL Practical Guide to Financial Planning
- How food is produced
- A new pricing formula for HDB flats
- GST exemption - penalty or benefit
- Price of new HDB flat
- Investing savings of $10,000
- Financial Planning for Ladies
- Health insurance for an aging population
- Unfair application of exclusion
- Economist debate: European Holidays
- UK Companies Investigation Branch
- The benefits of social insurance
- Responsible communication
- US Debt - a Ponzi scheme?
- ▼ 01/03 - 01/10 (28)
- ► 2009 (1655)
- ► 2008 (2105)
- ► 2007 (1803)
- ► 2006 (696)
- ► 2005 (159)