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I think you need to reread what I wrote and understand what I'm arguing. The OP argued inelastic demand drives price gouging which isn't true in the case of ga

I think you need to reread what I wrote and understand what I'm arguing. The OP argued inelastic demand drives price gouging which isn't true in the case of gasoline. Price gouging in medicine isn't driven by inelasticity, its driven by a dearth of suppliers. In Denmark, you have few suppliers but the suppliers you do have are owned and regulated by the government. It's not a relevant comparison. They are not a market-based supplier.

bonzini 9y ago
It's not driven by the dearth of suppliers, it's driven by the impossibility of choosing the cheapest provider due to a combination of 1) the lack of transparency in hospital pricing; 2) not being able to anticipate your expenses; 3) the insurers being able to "cheat" by agreeing on lower prices with the providers; 4) insurers forming a cartel. When there are so many forces pushing against the creation of a free market and a healthy balance between supply and demand, there is only one thing that the government can do: either socialize it (that's what happens with roads, for example), or regulate it like there's no tomorrow (that's what happens with utilities). However, in the US it is blasphemy to even suggest doing either thing to healthcare.
- rukittenme 9y ago
  You're absolutely write to go after my "dearth of suppliers" point. It certainly is not the only reason for healthcare costs or even a large percentage. I even say so in a different comment. 1 and 2 are absolutely valid points and share responsibility for healthcare costs. > However, in the US it is blasphemy to even suggest doing either thing to healthcare. I wholeheartedly disagree with this. Healthcare is the most regulated industry in America.
eesmith 9y ago
I asked for clarification because I didn't understand what you are arguing. I don't think it helps to follow up by repeating that I need to understand. I now understand your point, thank you.
- rukittenme 9y ago
  I should apologize. I interpreted your question as rhetorical, rather than genuine, which is why I asked you to re-read my point. My mistake.

bonzini 9y ago

It's not driven by the dearth of suppliers, it's driven by the impossibility of choosing the cheapest provider due to a combination of 1) the lack of transparency in hospital pricing; 2) not being able to anticipate your expenses; 3) the insurers being able to "cheat" by agreeing on lower prices with the providers; 4) insurers forming a cartel. When there are so many forces pushing against the creation of a free market and a healthy balance between supply and demand, there is only one thing that the government can do: either socialize it (that's what happens with roads, for example), or regulate it like there's no tomorrow (that's what happens with utilities). However, in the US it is blasphemy to even suggest doing either thing to healthcare.

rukittenme 9y ago
You're absolutely write to go after my "dearth of suppliers" point. It certainly is not the only reason for healthcare costs or even a large percentage. I even say so in a different comment. 1 and 2 are absolutely valid points and share responsibility for healthcare costs. > However, in the US it is blasphemy to even suggest doing either thing to healthcare. I wholeheartedly disagree with this. Healthcare is the most regulated industry in America.

eesmith 9y ago

I asked for clarification because I didn't understand what you are arguing. I don't think it helps to follow up by repeating that I need to understand. I now understand your point, thank you.

rukittenme 9y ago
I should apologize. I interpreted your question as rhetorical, rather than genuine, which is why I asked you to re-read my point. My mistake.