Many of us in class have expressed concern over the health care bill and what it means for that industry. Greg Mankiw, Harvard professor, wrote a post on his blog giving his opinion on this not-so-new idea. As he points out, price ceilings are nothing new to the government. For all of us in this class who have taken the beginning levels of Micro and Macroeconomics, this translates ultimately to a queue, lines, and even black markets. Now I am not saying that this bill will inevitably result in a black market of hospitals as the far-right congressmen would like you to believe, but there is room for organizations like this.
We have seen this type of bill before and not just from the Democrats. After all, as Dr. Tufte has pointed out on several times in class, Nixon introduced a bill with many of the same objectives. Mankiw points these similarities in his blog.