Free Healthcare (controlling demand)

My simple policy proposal is to completely eliminate government subsidies for healthcare.

There is a reason that government schools do not teach basic economics properly. The reason is that the government does not want its citizens to be able to understand a simple chart like this:

The y-axis is price P. The x-axis is quantity Q. The chart is a supply-demand curve showing a right-shift of the demand curve and the consequent increase in price from P1 to P2. Consumer subsidies such as free veterans’ healthcare, Medicaid, and Medicare cause demand for healthcare to increase. An increase in demand, other things being equal, causes prices to increase.

Today, healthcare consumes about 20% of GDP or about $10,000 per person. In a free market, healthcare would be as available and easy to obtain as shoes or socks or a McDonald’s Happy Meal.