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Is it useful to post prices?

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Tyler Cowen recently wrote a post about some of the problems with the Senate health care bill. Namely the requirement that hospitals publicized the standard rates for their services. New  Hampshire has implemented such a policy and variation in price has not changed since 2007. Professor Cowen has raised questions on the capacity for men to make use of the information, but I would ask what contributions to the lack of variation are due to regulation. If there are certain minimums that an insurance policy must abide by, insurers may hold to this minimum since they cannot make cheaper plans.

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Written by weso

December 29, 2009 at 02:49

Posted in Uncategorized

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