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The Mission of the Manhattan Institute is foster greater economic choice and individual responsibility. |
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Uncle Sam is no doctor By Regina E. Herzlinger Americans want to know how good their doctors and hospitals are. But
the government does not reward good performance judged by whether
patients get better. It rewards only good conformance for medical
providers who follow its recipes. Government recipes are delineated primarily through "peer review," not scientific experiments. Although the title implies saintly physicians dispassionately evaluating each other's work, medical "peers" become brass-knuckle fighters when innovators threaten their expertise. The history of medicine is filled with shameful suppressions of important advances. The government's demand for minutely-detailed records that demonstrate adherence to every step in its recipes may be the straw that breaks the back of providers' strained information-technology systems. Government's appropriate role is to measure outcomes the real performance of doctors and hospitals. Disclosure was President Franklin Delano Roosevelt's solution. Instead of dictating recipes for hard-hit Depression-era businesses, he created the Securities and Exchange Commission to promulgate audited financial outcomes, measured by generally accepted accounting principles. The resulting transparency is essential to financial markets that reward good firms and penalize laggards. Sunshine is the best disinfectant. Want Uncle Sam to be your doctor? Or should he enable you to understand just how good your doctor is? Regina E. Herzlinger is the author of Who Killed Health Care?, the McPherson professor at Harvard Business School and a fellow at the Manhattan Institute ©2007 USA Today
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