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Redistribution not Enough

http://westernperspective.blogspot.com/

The current health care debate brings out the need to go beyond a simple redistributive model so that there can be real health care reform.

Private health insurance derives from the capitalist system. Insurance corporations are allowed to exist and regulated by the state for the purpose of making a profit for investors. Thus there is an incentive to cut costs by not providing adequate medical services. This is analogous to corporations outsourcing jobs overseas to bypass local taxation, environmental and safety standards, and to obtain a cheap source of labor. Many manufacturing jobs have already been lost in America because of this. This is not the fault of labor unions which protect workers. As there are no guarantees in life, the outsourcing of jobs happens because workers have the power to effectively demand justice. With this power comes responsibility, and the risk of possible job insecurity.

Moving beyond the capitalistic model, there is a need for all those directly affected by corporate activities, whether workers, consumers, or people living in the local community, to become stakeholders and actively involved in the decision making process. In the case of plant relocation, for example, an enterprise organized as a cooperative would factor in the harmful effects on workers and their families. Decisions could then be made perhaps for managers and workers to take a pay cut in order to make the business more competitive, or perhaps to scale back production for local consumption only. At least these alternatives would be better than stopping production altogether.

The same should apply with health care. The current proposals will not work. They will require more government spending and government mandates which will drive private health insurers out of business. Neither the American families nor the health care providers will be given a stake in decision making. That will all be done by a government czar.

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