OFF: consumer economics (was: Hawkwind MP3's)

[M Holmes]

nickmedford at HOTMAIL.COM writes:

> On Mon, 7 Apr 2003 15:56:50 +0100, M Holmes <fofp at HOLYROOD.ED.AC.UK> wrote:
>
> >
> >Whereas in our socialised medical system, they die queueing for
> >operations at zero price. If the price is too low then demand exceeds
> >supply and some of it goes unsatisfied.
>
> Are you suggesting that if people in the UK had to pay for (say) coronary
> artery bypass grafts, then fewer British people would require them?

Exactly so. If people don't have to pay for healthcare then at the
margin they will be less careful of their health. It's all about incentives.

However a greater effect might be that if the price went up, more people
would be interested in supplying the demand based on the profit motive
and so fewer people would die in the queue.

FoFP