cnsnews
By Susan Jones | June 23, 2017 | 9:51 AM EDT
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http://www.cnsnews.com/news/article/susan-jones/sen-rand-paul-i-can-summarize-health-care-cost-problem-one-sentence(CNSNews.com) – Sen. Rand Paul (R-Ky.) says he wants the Republican health care bill to look more like a repeal bill.
“I promised people I was going to repeal it. I didn’t promise people that I was going to replace it with a federal program or bailing out insurance companies,” the senator told MSNBC’s “Morning Joe” on Friday.
Paul said the Republican bill brought out in summary form Thursday retains “the fundamental flaws” of Obamacare that keep premiums high.
Paul said he would prefer to address actual medical costs. "And I can summarize the health care cost problem in one sentence,” Paul said:
The reason capitalism doesn’t work in health care is the consumer is disconnected from the product. Consumers do not make decisions based on price in health care except for a few exceptions.
Lasik surgery – where you want to get surgery to get rid of glasses -- everybody asks the price. The average consumer calls four different doctors. It’s a very sophisticated laser, million dollar laser, yet the price is going down by three-quarters over 15 years.
Contact lenses, same way. When you connect the consumer, the consumer cares about the price. Guess what, the consumer will shop, and when the consumer shops, competition works. But we’re not really doing that in health care.
Most of health care has fixed prices -- Medicare, fixed prices; Medicaid, fixed prices; and even private insurance, no consumer shops for price. There’s a little bit of competition in what prices come forward, but not really with the consumer involved.
Paul said the fundamental flaw of Obamacare is that it allows people to buy insurance after they’re sick, and it subsidized premiums by “dumping a bunch of money in insurance companies.”