Foundation for Economic Education

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America’s healthcare system is often blamed on “the free market,” but much of it is shaped by government policy.

Comment “Healthcare” and we’ll send you the full video. Tax rules favor employer-sponsored insurance, subsidies insulate consumers from prices, licensing limits who can provide care, and certificate-of-need laws can restrict new facilities. These interventions weaken competition and make prices harder to see. Markets work best when consumers can compare options, providers can enter, and prices carry information. Many healthcare problems reflect a system where government rules shape who pays, who provides, and what choices remain.
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