It's simple: waste. Everywhere. There is no incentive for doctors to be efficient so they aren't. They order too many supplies, do too many procedures quickly

It's simple: waste. Everywhere. There is no incentive for doctors to be efficient so they aren't. They order too many supplies, do too many procedures quickly (when doing them slowly would be fine, and cheaper, etc). Price discipline is like gravity. It affects everything. In most American businesses subject to market forces, there is an enormous push to optimize every single little bit of the business to control costs. This force simply doesn't exist in healthcare.