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Wal-Mart Educates Universal Health Care Proponents on the Free Market
Posted by Duane Lester on May 6th, 2008 • 46 views Clicks

What the government run health care folks don’t like is the idea that the private sector would provide the service for a lower price if the government would get out of the way. They say the idea is absurd. Behold, the market at work:

Wal-Mart Stores Inc., the world’s largest retailer, announced Monday it would expand its discounted prescription drug program to offer 90-day supplies for $10 and add several women’s medications at a discount. It also said it would lower the price of more than 1,000 over-the-counter drugs.

The move marks the third phase of a company program that began in 2006 to provide a 30-day supply of generic prescription drugs for $4. The Bentonville-based company said the program has saved customers more than $1 billion.

With the expansion, the company began filling prescriptions Monday for up to 350 generic medications at $10 for a 90-day supply at Wal-Mart, Neighborhood Market and Sam’s Club pharmacies in the U.S. Almost all the prescription generics in the company’s $4 program were included in the expanded $10 offer, said Wal-Mart senior vice president John Agwunobi.

In addition, the company will add several women’s medications to its list of prescriptions available for $9, including drugs to treat breast cancer and hormone deficiency.

Wal-Mart is also lowering the price of OTC drugs. I don’t want this to seem like a big ad for Wal-Mart. But I do want you to think about other ways the market could lower the price of health care and insurance in America if government would get out of the way.

John McCain released his health care plan, and it sounds like it does exactly that.

The McCain plan offers a $5,000 tax credit to families and $2,500 to individuals to purchase health care on their own. This would end the inherent inequity of some getting tax-free health care from their employers, but those on their own or working for small businesses having to purchase it with after tax dollars.

It levels the field and relocates the focus of health-care-purchase freedom and responsibility to where it should be — on individuals.

McCain would further enhance competition and consumer power by ending the 50 separate state fiefdoms and allow the health care market to be open nationwide.

How would this lower the price of insurance? The original article in this post offers the answer. When asked if Wal-Mart would offer generic drugs fro free, Wal-Mart Chief Operating Officer Bill Simon said “We’re in business to make money.”

Insurance companies are in business to make money also. Sam Walton proved that you can make a lot of money selling a lot of products for less. While you don’t make as much profit per item, overall you make a lot of profit. Quality insurance, sold affordably nationwide, would result in huge profits. Competition will ensure the best price.

This sure beats government run healthcare, where you are refused care because you are too fat, too old or because the drug is too expensive and the government won’t pay for it.
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Duane Lester is an ex-Navy journalist turned blogger and podcaster. He is the lead writer and editor for All American Blogger. You can also find him on StumbleUpon, Facebook, Twitter, LinkedIn, Blog Talk Radio and Newsvine. You can contact him by clicking the "E-mail this Author" button below.
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