Medicine as a Public Calling.

Area of Science:

• Health Law and Economics
• Public Policy
• Healthcare Regulation

Background:

• The current debate on controlling private medical spending is polarized between single-payer systems and market-based solutions.
• The concept of regulating the medical industry as a public utility is often dismissed in policy discussions.
• Historical analysis of health law reveals a significant, yet often overlooked, influence of the public utility model.

Observation:

• The dismissal of the public utility model in healthcare regulation is based on a misunderstanding of its historical role.
• The public utility model has deeply influenced health law throughout the twentieth century and continues to have relevance.
• Closer economic regulation of the medical industry aligns with American governing institutions and political culture.

Findings:

• The public utility model for healthcare regulation is not incompatible with American traditions.
• Historical precedent demonstrates the long-standing application and effectiveness of utility-style regulation in healthcare.
• The perceived dominance of market-based approaches in healthcare may be less permanent than assumed.

Implications:

• Revisiting the public utility model offers a potential alternative or supplement to current healthcare cost-containment strategies.
• Understanding the historical application of utility regulation can inform future healthcare policy debates.
• The durability of utility-style regulation suggests a need for a more nuanced approach to healthcare market reform.