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Market economies must have open and understandable pricing in order to work. Heath care is not open or understandable and therefore it is not a real market system.

Even in this case, your friend may have had to pay a lot of money for her C-Section, but it was much cheaper as a percentage of her wage than it would have been 50 years earlier for the same level of care, though in reality, the level of care she received now was probably not even available to the richest 50 years ago.

Think air conditioners in cars. They were once a luxury, but are now commonplace. If in the 50's we had demanded that everyone be provided a vehicle from a single payer system, it would have been impossible for air-conditioners to make the cut. We simply could not have afforded them for everyone at the time. The production costs of air conditioners would have stayed the same as manufacturing processes could not have been refined with experience.

This story plays out over and over again in market economies. Here is a comparison of the Sears catalog that shows an 80 percent reduction in cost (per hours worked) for common household items. http://mjperry.blogspot.com/2009/03/miracle-of-…

That being said, I agree that liability problems stifle innovation, and that we should agree on a level of basic care that is made available to those least able to pay.

There is a word for people like you: despicable.

I'm late to the medical side of things. Earlier I worked with PhDs in a wide variety of fields, from metallurgy to electrical engineering to polymer chemistry to applied physics and so on. They all had a mentality of productizing discoveries. I found that spirit some in the medical world at places like Stanford Hospital, but for the most part I instead find antagonism to commercialization.

The “bench to bedside” program was not to mint PhDs. Instead, it was senior researchers in Alzheimer's, in genetics, in cancer, in eye research, a variety of medical fields. Nothing in the pipeline there after 3 years is telling.

PhDs in the sciences are granted for an original intellectual contribution to science (as slight as this contribution admittedly may be). They are, by definition, innovative – why a lab that produces successful PhDs instead of products is proof that innovation is in peril eludes me. Given that a typical PhD takes 4-6 years, that nothing was in the pipeline after thre years is hardly surprising.

My argument is pretty straight forward. The heavy lifting of scientific discovery is done by publicly funded university researchers. Corporations take these insights and monetize them. COX-2 inhibitors are a good example of corporations gravy training on actual research. Researcher discovers an important receptor site, corporation cyclesrapidly through hundreds of chemical analog candidates to fit in the site. Combinatorial chemistry and drug screening is hardly innovative in a corporate setting.

As for the ENT, his innovation was funded by an NIH grant, thus proving my point. Scientists are currently in an extremely competitive market seeking funds for medical research. If anything, the constant spinning of their research as medically important encourages scientists to overpromise, deceive, and play it safe. Will is absolutely right that self interest drives innovation – but it's publicly funded.

Charlie, can you provide a single counter factual where a corporation created a medically important (i.e. – reduces mortality) drug or device without using the intellectual work product of a university scientist? I'm talking a soup to nuts innovation from the private sector. Other commentors are welcome to chime in.