In Other Sectors This is What Markets Do

This is from Atul Gawande’s commencement address at Harvard Medical School:

The core structure of medicine—how health care is organized and practiced—emerged in an era when doctors could hold all the key information patients needed in their heads and manage everything required themselves. One needed only an ethic of hard work, a prescription pad, a secretary, and a hospital willing to serve as one’s workshop, loaning a bed and nurses for a patient’s convalescence, maybe an operating room with a few basic tools. We were craftsmen. We could set the fracture, spin the blood, plate the cultures, administer the antiserum. The nature of the knowledge lent itself to prizing autonomy, independence, and self-sufficiency among our highest values, and to designing medicine accordingly. But you can’t hold all the information in your head any longer, and you can’t master all the skills. No one person can work up a patient’s back pain, run the immunoassay, do the physical therapy, protocol the MRI, and direct the treatment of the unexpected cancer found growing in the spine. I don’t even know what it means to “protocol” the MRI.

We don’t have to look far for evidence. Two million patients pick up infections in American hospitals, most because someone didn’t follow basic antiseptic precautions. Forty per cent of coronary-disease patients and sixty per cent of asthma patients receive incomplete or inappropriate care. And half of major surgical complications are avoidable with existing knowledge. It’s like no one’s in charge—because no one is. The public’s experience is that we have amazing clinicians and technologies but little consistent sense that they come together to provide an actual system of care, from start to finish, for people. We train, hire, and pay doctors to be cowboys. But it’s pit crews people need.

As I’ve said before, Gawande gets an A on writing, a C on understanding economics, and an F on understanding public policy.

6 thoughts on “In Other Sectors This is What Markets Do”

  1. Gwante describes the problem but fails to discuss the reason doctors and hospitals behave like independent contractors performing a series of uncoordinated tasks. Medicare reimburses physicians for 7,500 tasks and not one of them is coordinating patients’ care or with other providers. To the extent that some hospitals have teams of medical personnel that perform like a pit crew, it’s because of the dedication of a few individuals at the top – not because they have an incentive to provide care in that manner.

  2. It is too bad people can’t envision a health care system that is shaped and molded by market forces. Such a system wouldn’t be perfect, but it would be much better than what we have now (let alone anything the Central Planners can concoct).

Comments are closed.