Institute for Research in Economic and Fiscal issues

IREF Europe - Institute for Research in Economic and Fiscal issues

Fiscal competition
and economic freedom

A different look on the American health care system

The American healthcare system is stigmatized in Europe, and especially in France, where the government is pretending to offer a high quality health services to every French citizen, regardless of his contribution to the social security. But if the French social security system succeed in one task – covering the uninsured, it failed in two others, much more important issues – controlling costs and innovation. A recent study edited by the Cato Institute is evidencing the superiority of the American healthcare system when it comes to innovation in medical treatment.

The United Stated has contributed more than any other country (and in some cases, more than all other countries combined), for the innovations in basic science, diagnostics and therapeutics. Expanding price controls, government health care programs and health insurance regulation could hinder America’s ability to innovate, at the expense to all those people around the world who benefit from US innovations.

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