Episode 147: Where There is Choice, There is a Free Market

Hello. Dr. Keith Smith with you on behalf of the Free Market Medical Association. Thank you for joining me.

One of the arguments that the naysayers typically use against the application of free market principals to the medical industry is that if you’re in an ambulance, you’re in no position to shop – you have no choice. I would argue that the market is still at work. For after all, if you’re a hospital or an emergency room, you can make a reputation for yourself by taking complete financial advantage of the vulnerable and the sick. Likewise, you can make a reputation for yourself by being fair and honest, and not price gouging the vulnerable and the sick. Not taking advantage of them.

I find it interesting that the default condition that most of the naysayers rely on is assuming that big hospitals and emergency rooms will definitely take advantage of people if they’re given no choice. There are two people in an exchange that have a choice, and if hospitals decide to take advantage of people, they’ve made that choice. And the market will and should judge them harshly for having done so.

On a trip to Colorado recently, my brakes went out, and my wife and I had a few scary moments going downhill on the other side of the Eisenhower Tunnel. We had to get our brakes fixed. It was late Friday afternoon and we were in a real jam. And we met someone who took care of us. They made a choice and they decided to be fair. Here is his card. If you are ever in the Silverhorne, Colorado area and you need any vehicle or automobile work done, I recommend Patrick Trujillo. We could not have been treated more fairly, more quickly, and at a great price – and it was truly an emergency situation for us. One where he knew we would pay more if we had to, yet he treated us very well. He made a choice in this market exchange and we appreciate it.

I wanted to make this video to thank him and to also make this point. Thank you for joining me.