We’ve recently heard news about the General Assembly issuing “exceptions” to the state Certificate of Need rules to Belhaven hospital and another one out in western North Carolina. For those of you not as up to date on CON laws, here is a great primer to help you catch up.
CON laws demand that health care providers PROVE to the state that a new service is justified before they can offer it. It’s central planning at its worst. Market forces take a back seat to bureaucratic whims.
It’s curious that “exemptions” are being granted, instead of a total repeal of this horrible law. If the law is bad for two places, why is it not bad for EVERYBODY?
It’s a sad fact of life. Politicians enjoy having control over people and businesses. Especially those who have deep pockets full of potential campaign contributions. Again, it doesn’t matter what party platforms say. Money talks.
CONs — for far too long — have shielded hospitals from that *silly* supply and demand thing. If you are the only one around “allowed” to provide a service, you have a captive audience and little to no pressure to cut your prices. Never mind that your patients / customers may have to drive 100 miles or so from home to get treated — when the market COULD sustain a cheaper, just as effective treatment option closer to home.
The ‘conservative revolution’ should be about snatching power away from the bureaucracy and giving the market a bigger say. Statist habits like picking winners and losers and building walls to keep out competition are what has helped us get into our current mess. No more exemptions. REPEAL.
If it’s bad for two people, it’s likely bad for EVERYBODY.