one significant victim of America's market-based health-care system is left out: ... market capitalism itself ...

Health Costs Screw Business, Too | he victim Sicko won't acknowledge. | By Timothy Noah | Posted Monday, July 2, 2007, at 2:01 AM ET
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... Yet one significant victim of America's market-based health-care system is left out: market capitalism itself.

I refer not to health insurers, nor to health-maintenance organizations, nor to for-profit hospitals, but rather to businesses outside the health-care sector that are saddled with the growing cost of providing health insurance to their employees. This obligation puts American companies at a disadvantage with respect to foreign competitors whose governments provide health care. The most obvious victim, ironically, is a company Moore knows very well: General Motors. Because of health-care obligations, the automaker that Moore pilloried in his first film, Roger and Me, is fighting for its life.
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It's tempting to demonize business for whittling away at health-care benefits, but over the past two decades the cost to business of providing those benefits has roughly doubled, to a great extent because health insurers and hospitals now employ vast bureaucratic armies to fight over medical bills. Health-care costs are now outrunning income gains by about 3 percentage points. This means that for the typical worker, raises are, for the foreseeable future, an artifact of the past. That's terrible news for labor, but it's terrible news for bosses, too, because it robs them of a necessary tool to get employees to perform good work.
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