Spearhead
Gulf coast redneck hippy
+731|6688|Tampa Bay Florida
Could someone address the "financialization" and "modernization" of Wall Street in the past 2-3 decades?  Because to me that seems to be the "free" market in essence centralizing all decision making power on its own whim. 

I guess my point is that just because the gov't ISN'T doing it, doesn't mean its in effect healthy for a free market.  What's the difference between a totalitarian state and a state where everything is owned by subsidiaries of one massive supranational corporate entity?  Is there any reason to think that this WILL NOT happen if the status quo is pursued?

How would the banks have gotten "too big to fail" with Glass Steagal still in place?  On second thought, why are they even allowed to call themselves banks...
Jay
Bork! Bork! Bork!
+2,006|5357|London, England
I don't disagree. Regulations should be in place to prevent and punish fraud, theft and the like. The problem is that while they're sold to us, the layman, as such, they are generally anything but. Most 'regulations' are written by industry insiders to protect their position at the expense of others. Do you really think that Congress and other governments throughout the country are run by enlightened individuals? No, they're lawyers and they have absolutely no idea what goes on inside most industries and have no way of writing any of that crap on their own. They turn to members of the industries themselves, their cronies from college or whatever, and have them write the legislation. You end up with a system like Fannie and Freddie where all risk is divested by the banks and placed on the backs of the taxpayers for home loans. This in turn leads to players like Countrywide giving out bad loans because they plan on packaging them up in bundles and passing them on to others, risk free (or at least until the music stops like it did and they can't anymore).

The problem with this conversation is that we simply have different definitions of what a regulation is. You have the idealistic view (with which I would agree if it were the practice) that they are beneficial to consumers. I see them as the competition destroying, consumer fucking, monstrosities that they are in practice.
"Ah, you miserable creatures! You who think that you are so great! You who judge humanity to be so small! You who wish to reform everything! Why don't you reform yourselves? That task would be sufficient enough."
-Frederick Bastiat
KEN-JENNINGS
I am all that is MOD!
+2,973|6631|949

You argued before that industry should be the ones writing the legislation because 'congress is full of lawyers who have no industry knowledge'.  You acknowledge in your post that industry writes laws to benefit themselves, not 'the people'.

We both agree the government works in favor of business.  I don't have an idealistic view that regulations are beneficial to the people - that is what I want, but I know that is not reality.  We can argue the merits and pros/cons of barrier to entry and importance of competition if you want.

You have an idealistic view of economics - you think everything will work itself out if you trust in the market to correct itself - I'm arguing the market either doesn't correct itself, or corrects itself after taking a massive toll on the people.
Macbeth
Banned
+2,444|5584

Safety standards are competition destroying, consumer fucking, monstrosities.

Last edited by Macbeth (2012-07-10 12:04:58)

Jay
Bork! Bork! Bork!
+2,006|5357|London, England

KEN-JENNINGS wrote:

You argued before that industry should be the ones writing the legislation because 'congress is full of lawyers who have no industry knowledge'.  You acknowledge in your post that industry writes laws to benefit themselves, not 'the people'.

We both agree the government works in favor of business.  I don't have an idealistic view that regulations are beneficial to the people - that is what I want, but I know that is not reality.  We can argue the merits and pros/cons of barrier to entry and importance of competition if you want.

You have an idealistic view of economics - you think everything will work itself out if you trust in the market to correct itself - I'm arguing the market either doesn't correct itself, or corrects itself after taking a massive toll on the people.
It boils down to whether or not you believe in democracy. The market is a democracy. Idealistic regulations pushed down from on high by a bunch of enlightened elites is straight out of Plato, and is fantastically misguided because such superheroes do not, will not, and have never existed.
"Ah, you miserable creatures! You who think that you are so great! You who judge humanity to be so small! You who wish to reform everything! Why don't you reform yourselves? That task would be sufficient enough."
-Frederick Bastiat
KEN-JENNINGS
I am all that is MOD!
+2,973|6631|949

the market is a democracy. ok. I don't know what else to say to that.  Agree to disagree.
AussieReaper
( ͡° ͜ʖ ͡°)
+5,761|6151|what

Macbeth wrote:

Safety standards are competition destroying, consumer fucking, monstrosities.
Reagan should never have created the EPA!
https://i.imgur.com/maVpUMN.png
eleven bravo
Member
+1,399|5258|foggy bottom
nixon
Tu Stultus Es
eleven bravo
Member
+1,399|5258|foggy bottom
Tu Stultus Es
AussieReaper
( ͡° ͜ʖ ͡°)
+5,761|6151|what

eleven bravo wrote:

nixon
Thx mate.
https://i.imgur.com/maVpUMN.png
Dilbert_X
The X stands for
+1,810|6105|eXtreme to the maX

Macbeth wrote:

Safety standards are competition destroying, consumer fucking, monstrosities.
lol OK
Русский военный корабль, иди на хуй!
Bertster7
Confused Pothead
+1,101|6580|SE London

A few points.

1. Why does everyone seem to assume that a universal healthcare system would eliminate private healthcare? Most countries with universal healthcare have thriving private healthcare systems. In the UK for example, you can go public and have very limited choice and longer wait times, or you can go private and have as much choice as your insurer permits you to (usually lots) and have very short wait times.

2. If national healthcare systems are less efficient, then why are the costs (to the healthcare system, not the consumer) for drugs far lower for countries such as France and the UK than they are in the US?
Personally, I don't believe that a public healthcare system is more efficient, so I doubt that is the answer. However, there's a lot of evidence to suggest that these prices in the US are artificially inflated by the insurance companies and the pharmaceutical companies to keep profits high. This is the sort of problem with private only systems.

3. If the system is funded by insurance in the US, why does the US taxpayer pay more per capita than the British taxpayer for healthcare? Could it have anything to do with the fact that due to the scale and complexity of the insurance system, 30% of healthcare spending in the US ($2.5 trillion in 2009) goes on administrative costs.

4. If the US system is so great, why is life expectancy there low in comparison to other similar countries?

5. 20000-45000 preventable deaths each year due to lack of health insurance in the US. Doesn't this seem like a bad thing? Or is the overwhelming opinion in the US "fuck 'em"?

To me, it seems like a government run healthcare system is a necessity. The government mandates that healthcare should be available to everyone whether they have insurance or not, surely they need to provide that healthcare, not pass the responsibility to private companies? However, choice and better quality care should not be removed - they should be provided to those who pay for them.
I'd like to see a universal, entirely government funded system in place as the baseline, then a more premium service for those who are insured.
What would happen? Who can say - it's really fucking complicated in the US because of the madly arcane insurance system that has built up and that needs to be thinned off a bit. What isn't complicated looking at a system that is almost twice as expensive as its competitors and yet does not match the average levels of performance from them, is deciding that change is needed - as it stands all your money is being siphoned away by insurers in administrative costs (nearly a trillion dollars a year).
Bertster7
Confused Pothead
+1,101|6580|SE London

Jay wrote:

I just don't understand why people think expanding the governments role in any business sector is a good solution. We all hate taxes, we all hate politicians, we all hate bureaucrats, we hate standing in line, and yet people think the government will swoop in and save the day. Are the military, the TSA, the VA or any of the thousand other bureaucracies efficient or cheaper than their private equivalents? Any time taxpayer money is involved there will be massive corruption and overbilling. It's a given.
OK - with that in mind, why have all the moves to privatise previously government run sectors in the UK implemented by Thatcher been such a colossal failure (with the sole exception of BT who have done very well)?
Jay
Bork! Bork! Bork!
+2,006|5357|London, England

Bertster7 wrote:

A few points.

1. Why does everyone seem to assume that a universal healthcare system would eliminate private healthcare? Most countries with universal healthcare have thriving private healthcare systems. In the UK for example, you can go public and have very limited choice and longer wait times, or you can go private and have as much choice as your insurer permits you to (usually lots) and have very short wait times.

2. If national healthcare systems are less efficient, then why are the costs (to the healthcare system, not the consumer) for drugs far lower for countries such as France and the UK than they are in the US?
Personally, I don't believe that a public healthcare system is more efficient, so I doubt that is the answer. However, there's a lot of evidence to suggest that these prices in the US are artificially inflated by the insurance companies and the pharmaceutical companies to keep profits high. This is the sort of problem with private only systems.

3. If the system is funded by insurance in the US, why does the US taxpayer pay more per capita than the British taxpayer for healthcare? Could it have anything to do with the fact that due to the scale and complexity of the insurance system, 30% of healthcare spending in the US ($2.5 trillion in 2009) goes on administrative costs.

4. If the US system is so great, why is life expectancy there low in comparison to other similar countries?

5. 20000-45000 preventable deaths each year due to lack of health insurance in the US. Doesn't this seem like a bad thing? Or is the overwhelming opinion in the US "fuck 'em"?

To me, it seems like a government run healthcare system is a necessity. The government mandates that healthcare should be available to everyone whether they have insurance or not, surely they need to provide that healthcare, not pass the responsibility to private companies? However, choice and better quality care should not be removed - they should be provided to those who pay for them.
I'd like to see a universal, entirely government funded system in place as the baseline, then a more premium service for those who are insured.
What would happen? Who can say - it's really fucking complicated in the US because of the madly arcane insurance system that has built up and that needs to be thinned off a bit. What isn't complicated looking at a system that is almost twice as expensive as its competitors and yet does not match the average levels of performance from them, is deciding that change is needed - as it stands all your money is being siphoned away by insurers in administrative costs (nearly a trillion dollars a year).
1) Who cares?

2) Because you use generic drugs that we researched for our own market, at cost. You're intellectual leeches.

3) Less than 15% of costs are administrative. Are you saying the government workers would be more efficient and it would require less of them to perform the same job? Because that's the only way you'd cut down on those costs. That, or removing the reamloads of regulation compliance forms that are required to be filled out on every patient by the government.

4) Shitty diet. You ever seen an old fat person? Also, we tend to fight more wars than other nations, so that factors in too. Other than that, shrug, dunno. My grandparents are in their 90s.

5) You do realize that everyone in the US does have a baseline to fall back on, ya? Everyone can go to the hospital and receive treatment whether they have insurance, the ability to pay, or nothing at all. It's the law. But man, those numbers look big, right? What counts as a preventable death? Smoking? Drinking? Driving without a seatbelt? There are lots of preventable deaths and many ways to tweak the stats. Except no death is preventable, we all die. Does your stat count people that have cancer but can't afford the hundreds of thousands of dollars worth of pills that would've extended their life another 3 months? I bet it does. 30,000 people seems like a lot, but if we extrapolated it to the population of the UK it would be about 5,000. Seems like a lot smaller of a problem now doesn't it? Especially since there really isn't one in the first place.


As for the rest, you can't go from a wholly private system to a nationalized system without fucking over millions of people. What happens to the doctors that paid their way through medical school, did their years of drudgery working as a Resident in a hospital, and then took the chance and decided to start their own private practice? "Oh, you now work for the government, here's your much smaller paycheck". You, and people like you, act like it's just a switch you throw one day on a whim. "Let's nationalize the beer distribution industry today, cheaper beer for all" You're completely ignoring the billions of dollars that hospitals invest in themselves every year, the billions the pharma companies invest in research every year. Are you going to compensate them for their loss when you nationalize? Because if not, it's wholesale theft, which I doubt you have a problem with anyway. I do.
"Ah, you miserable creatures! You who think that you are so great! You who judge humanity to be so small! You who wish to reform everything! Why don't you reform yourselves? That task would be sufficient enough."
-Frederick Bastiat
Jay
Bork! Bork! Bork!
+2,006|5357|London, England

Bertster7 wrote:

Jay wrote:

I just don't understand why people think expanding the governments role in any business sector is a good solution. We all hate taxes, we all hate politicians, we all hate bureaucrats, we hate standing in line, and yet people think the government will swoop in and save the day. Are the military, the TSA, the VA or any of the thousand other bureaucracies efficient or cheaper than their private equivalents? Any time taxpayer money is involved there will be massive corruption and overbilling. It's a given.
OK - with that in mind, why have all the moves to privatise previously government run sectors in the UK implemented by Thatcher been such a colossal failure (with the sole exception of BT who have done very well)?
I have no idea about any of that.
"Ah, you miserable creatures! You who think that you are so great! You who judge humanity to be so small! You who wish to reform everything! Why don't you reform yourselves? That task would be sufficient enough."
-Frederick Bastiat
Dilbert_X
The X stands for
+1,810|6105|eXtreme to the maX
2) Because you use generic drugs that we researched for our own market, at cost. You're intellectual leeches.
Bullshit, they have worldwide patents, then go out of patent worldwide and are available as generics.
Also, we tend to fight more wars than other nations, so that factors in too.
You really think thats a factor? Does private health insurance cover you in the Army or on the battlefield?
I have no idea about any of that either.
The NHS was reasonably efficient, with Doctors and nurses providing effective healthcare without much bureaucracy or investors or shareholders to give a return to, instead funded out of tax.
Now the NHS has more managers than nurses and borrows money at the highest rate in the country to fund investement in facilities.
Русский военный корабль, иди на хуй!
Pug
UR father's brother's nephew's former roommate
+652|6541|Texas - Bigger than France
Actually, drug prices overseas are cheaper because drug trials are needed for American pharmaceutical companies.
eleven bravo
Member
+1,399|5258|foggy bottom

Pug wrote:

Actually, drug prices overseas are cheaper because drug trials are needed for American pharmaceutical companies.
thats very true.  patients in clinical trials in mexico are paid a fraction of what they would be in the states
Tu Stultus Es
Bertster7
Confused Pothead
+1,101|6580|SE London

Jay wrote:

Bertster7 wrote:

A few points.

1. Why does everyone seem to assume that a universal healthcare system would eliminate private healthcare? Most countries with universal healthcare have thriving private healthcare systems. In the UK for example, you can go public and have very limited choice and longer wait times, or you can go private and have as much choice as your insurer permits you to (usually lots) and have very short wait times.

2. If national healthcare systems are less efficient, then why are the costs (to the healthcare system, not the consumer) for drugs far lower for countries such as France and the UK than they are in the US?
Personally, I don't believe that a public healthcare system is more efficient, so I doubt that is the answer. However, there's a lot of evidence to suggest that these prices in the US are artificially inflated by the insurance companies and the pharmaceutical companies to keep profits high. This is the sort of problem with private only systems.

3. If the system is funded by insurance in the US, why does the US taxpayer pay more per capita than the British taxpayer for healthcare? Could it have anything to do with the fact that due to the scale and complexity of the insurance system, 30% of healthcare spending in the US ($2.5 trillion in 2009) goes on administrative costs.

4. If the US system is so great, why is life expectancy there low in comparison to other similar countries?

5. 20000-45000 preventable deaths each year due to lack of health insurance in the US. Doesn't this seem like a bad thing? Or is the overwhelming opinion in the US "fuck 'em"?

To me, it seems like a government run healthcare system is a necessity. The government mandates that healthcare should be available to everyone whether they have insurance or not, surely they need to provide that healthcare, not pass the responsibility to private companies? However, choice and better quality care should not be removed - they should be provided to those who pay for them.
I'd like to see a universal, entirely government funded system in place as the baseline, then a more premium service for those who are insured.
What would happen? Who can say - it's really fucking complicated in the US because of the madly arcane insurance system that has built up and that needs to be thinned off a bit. What isn't complicated looking at a system that is almost twice as expensive as its competitors and yet does not match the average levels of performance from them, is deciding that change is needed - as it stands all your money is being siphoned away by insurers in administrative costs (nearly a trillion dollars a year).
1) Who cares?

2) Because you use generic drugs that we researched for our own market, at cost. You're intellectual leeches.

3) Less than 15% of costs are administrative. Are you saying the government workers would be more efficient and it would require less of them to perform the same job? Because that's the only way you'd cut down on those costs. That, or removing the reamloads of regulation compliance forms that are required to be filled out on every patient by the government.

4) Shitty diet. You ever seen an old fat person? Also, we tend to fight more wars than other nations, so that factors in too. Other than that, shrug, dunno. My grandparents are in their 90s.

5) You do realize that everyone in the US does have a baseline to fall back on, ya? Everyone can go to the hospital and receive treatment whether they have insurance, the ability to pay, or nothing at all. It's the law. But man, those numbers look big, right? What counts as a preventable death? Smoking? Drinking? Driving without a seatbelt? There are lots of preventable deaths and many ways to tweak the stats. Except no death is preventable, we all die. Does your stat count people that have cancer but can't afford the hundreds of thousands of dollars worth of pills that would've extended their life another 3 months? I bet it does. 30,000 people seems like a lot, but if we extrapolated it to the population of the UK it would be about 5,000. Seems like a lot smaller of a problem now doesn't it? Especially since there really isn't one in the first place.


As for the rest, you can't go from a wholly private system to a nationalized system without fucking over millions of people. What happens to the doctors that paid their way through medical school, did their years of drudgery working as a Resident in a hospital, and then took the chance and decided to start their own private practice? "Oh, you now work for the government, here's your much smaller paycheck". You, and people like you, act like it's just a switch you throw one day on a whim. "Let's nationalize the beer distribution industry today, cheaper beer for all" You're completely ignoring the billions of dollars that hospitals invest in themselves every year, the billions the pharma companies invest in research every year. Are you going to compensate them for their loss when you nationalize? Because if not, it's wholesale theft, which I doubt you have a problem with anyway. I do.
1. You apparently, reading your previous posts.

2. Bullshit. Same drugs. Same branding. Different price, due either to economies of scale or price fixing - I don't know which, but it's nothing to do with them being different drugs. Also, British pharmaceutical companies pull their weight in the international market (European drug companies account for 6 of the top 10).
I'll have to dig out some figures, this is from one of Robert Peston's radio programmes (which are about economics).

3. Not according to the study referred to on Wiki:
This system has considerable administrative overhead, far greater than in nationalized, single-payer systems, such as Canada's. An oft-cited study by Harvard Medical School and the Canadian Institute for Health Information determined that some 31% of U.S. health care dollars, or more than $1,000 per person per year, went to health care administrative costs, nearly double the administrative overhead in Canada, on a percentage basis.
31% - not 15%.

I'm saying that 1 set of government workers could be more efficient than thousands of sets of worker for private insurance companies.

4. Life expectancy is a good benchmark of how good a healthcare system is. People in other countries have shitty diets too. Fighting in wars is inconsequential, many more Americans die from lack of health insurance each year than die fighting in wars.

5. I do realise that. Which is why I referenced it in my post, when I mentioned about the government mandating that healthcare must not be withheld.

Yes the number would be far smaller for a population the size of Britain's, but the number for Britain will be exceptionally low (not non-existent, as there will be some treatments available privately that are not deemed cost effective enough to be available under the NHS). I'd be prepared to bet it will be less than 50 per year over here.

As for it not being possible to nationalise overnight - we did it in Britain. You seem to be under the misguided impression that doctors wages would need to go down, I don't know why you seem to think that is the case. Can you provide any evidence to support that assertion?
The US only represents a small proportion of the market for these pharmaceutical companies. Not all of which are American anyway. 6 of the top 10 pharmaceutical companies are European.

I've come to expect this sort of response from you, very firm and authoritative but with very little substance or evidence behind it. Support your points with facts, not opinion. Examples of precedent. Figures. Something meaningful.

Last edited by Bertster7 (2012-07-11 15:38:23)

Bertster7
Confused Pothead
+1,101|6580|SE London

Jay wrote:

Bertster7 wrote:

Jay wrote:

I just don't understand why people think expanding the governments role in any business sector is a good solution. We all hate taxes, we all hate politicians, we all hate bureaucrats, we hate standing in line, and yet people think the government will swoop in and save the day. Are the military, the TSA, the VA or any of the thousand other bureaucracies efficient or cheaper than their private equivalents? Any time taxpayer money is involved there will be massive corruption and overbilling. It's a given.
OK - with that in mind, why have all the moves to privatise previously government run sectors in the UK implemented by Thatcher been such a colossal failure (with the sole exception of BT who have done very well)?
I have no idea about any of that.
I'm not surprised.

However it's shown very well how it makes sense for many essential services to be run by the government. The best example we see in the UK is the rail network, an example of a Public Private Partnership (PPP) - which is the worst way anything ever can be run and is exactly how the US healthcare system is run.

Since the government handed over the rail network to be privately run, the amount of government expenditure on rail has continually increased at beyond the rate of inflation. Ticket prices have also increased at beyond the rate of inflation. The number of services has decreased. The number of passengers on the service has increased.

So, with a greater number of customers paying higher fares to use fewer services you'd think there would be some savings wouldn't you? What you see is the rail companies making lots of money at the expense of everyone - including the government whose subsidies of the rail network have increased to something like triple what they were when they ran it. This is exactly the same scenario we see in the US healthcare system.
eleven bravo
Member
+1,399|5258|foggy bottom

Jay wrote:

I have no idea .
first accurate thing youve posted in a long time
Tu Stultus Es
Stingray24
Proud member of the vast right-wing conspiracy
+1,060|6444|The Land of Scott Walker
Why would there be savings simply because a greater number are paying more to use less?  Competition would lower ticket prices.
Jay
Bork! Bork! Bork!
+2,006|5357|London, England

Bertster7 wrote:

Jay wrote:

Bertster7 wrote:


OK - with that in mind, why have all the moves to privatise previously government run sectors in the UK implemented by Thatcher been such a colossal failure (with the sole exception of BT who have done very well)?
I have no idea about any of that.
I'm not surprised.

However it's shown very well how it makes sense for many essential services to be run by the government. The best example we see in the UK is the rail network, an example of a Public Private Partnership (PPP) - which is the worst way anything ever can be run and is exactly how the US healthcare system is run.

Since the government handed over the rail network to be privately run, the amount of government expenditure on rail has continually increased at beyond the rate of inflation. Ticket prices have also increased at beyond the rate of inflation. The number of services has decreased. The number of passengers on the service has increased.

So, with a greater number of customers paying higher fares to use fewer services you'd think there would be some savings wouldn't you? What you see is the rail companies making lots of money at the expense of everyone - including the government whose subsidies of the rail network have increased to something like triple what they were when they ran it. This is exactly the same scenario we see in the US healthcare system.
Inflation? Older trains require more maintenance. Union labor? Railroads in general lose money so I don't know why you are surprised. When they were public entities it was simply easier to hide the real costs behind subsidies and other stuff. The public-private railroad we have in the US, Amtrak, has never made money, but they keep it open anyway because of some stupid national defense argument. Either way, it's your mess and I really don't care, just like whatever we do in our own country is no concern of yours.
"Ah, you miserable creatures! You who think that you are so great! You who judge humanity to be so small! You who wish to reform everything! Why don't you reform yourselves? That task would be sufficient enough."
-Frederick Bastiat
KEN-JENNINGS
I am all that is MOD!
+2,973|6631|949

the idea is that by aggregating demand, you get a reduction of costs.  It's the same idea as forming a collective. Volume discounts.

Market competition hasn't lowered prices so far. 

If everyone has baseline insurance, shouldn't the financial burden shoved to everyone go down as well?  If there is a minimum coverage, wouldn't that mean people default less on hospital bills, which results in less extraneous costs pushed to everyone?
Jay
Bork! Bork! Bork!
+2,006|5357|London, England

KEN-JENNINGS wrote:

the idea is that by aggregating demand, you get a reduction of costs.  It's the same idea as forming a collective. Volume discounts.

Market competition hasn't lowered prices so far. 

If everyone has baseline insurance, shouldn't the financial burden shoved to everyone go down as well?  If there is a minimum coverage, wouldn't that mean people default less on hospital bills, which results in less extraneous costs pushed to everyone?
Sure, write your state senators and ask them to expand Medicaid coverage in your state.
"Ah, you miserable creatures! You who think that you are so great! You who judge humanity to be so small! You who wish to reform everything! Why don't you reform yourselves? That task would be sufficient enough."
-Frederick Bastiat

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