While some politicians talk about programmes designed to bring more people under the health-care umbrella, others talk about making health care more affordable. The former (combined with an aging population) will shift the demand curve outward; the latter will cause a movement downward along that shifted demand curve (a lower price increases the quantity demanded).
But if the supply curve doesn't shift outward, the above two policies will create more shortages and longer waiting periods (and committees of death, due to the shortages, no matter what they are called).
The only way to shift the demand curve outward, lower the prices to the users AND avoid shortages is to increase the supply.
Starting now, without delay, gubmnts should be encouraging medical schools to admit more students. They should also be encouraging more use of nurse practitioners and prescribing pharmacists. But as the demand increases, the shortages will not go away so long as prices are fixed below the equilibrium level.
If medical schools begin to admit more students, would that not lead to a lower overall quality of doctors? I wouldn't feel comfortable receiving medical attention from a mediocre student of medical science. However, I do agree with the increased use of nurse practitioners and pharmacists in that they could be the first step in the system who on the basis of case severity could send it up the ladder to a doctor. Hence, gubmnts should focus more on nursing sciences, and pharmacology programs.
Posted by: Adam | October 28, 2009 at 05:45 PM