Why Capitalism Is Bad in Healthcare: A Comprehensive Analysis

Capitalism often treats healthcare as a commodity that can be bought, sold, and traded under market forces. However, healthcare cannot be seen as a typical product like televisions or clothing; it is a fundamental need that affects every human life, whether through prevention, treatment, or emergency care. This article explores the flaws of applying capitalist principles in healthcare, highlighting ethical concerns, profit-driven decisions, and their adverse impacts on patients and healthcare workers.

Flaws of Applying Capitalism in Healthcare

Capitalism requires certain prerequisites to function effectively: namely, competitive markets, voluntary market entry, and the ability to opt out of services. However, healthcare does not align with these requirements. As an essential service, healthcare cannot be fully commodified due to its inherent nature of responding to emergencies and providing necessary care.

Limited Choices and Innate Needs

Firstly, in an emergency, patients do not have the luxury of choosing between different providers. They are often directed to the nearest available facility, rendering the concept of competition meaningless. Secondly, accessing healthcare is a non-negotiable need—it is not an optional luxury one can choose to forgo when it is convenient. Lastly, due to the two preceding points, genuine competition among providers is unattainable. Providers operate in a monopolistic or heavily regulated market, further undermining the capitalist principles.

Profit and Ethical Concerns

The profit motive inherent in capitalism can lead to unethical practices in healthcare. A profit-driven system prioritizes financial gains over patient welfare. Healthcare administrators often implement cost-cutting measures that compromise the quality of care, leading to an increase in fatality risks and mental health detriments among healthcare workers.

Incentives and Shortages

Individual healthcare providers and insurance companies have incentives that do not align with maximizing individual or public health. Insurance companies, for example, often prefer higher prices as a means to prevent self-insurance, which can be financially impractical for many individuals. Furthermore, there is an incentive to create shortages in certain services to drive up prices, exacerbating the already critical issue of affordability and accessibility.

Ethical and Humanitarian Concerns

The ethical implications of profiting from peoples' health are profound. Making profit at the expense of patients' well-being is morally reprehensible. In a healthcare setting, decisions should be driven by patient outcomes, not financial gains. However, the current system often prioritizes the latter.

Safety and Staffing Fluctuations

Healthcare administrators cut staff to decrease costs, leading to overburdened facilities with a low staff-to-patient ratio. Patients, especially vulnerable ones such as those with COVID-19, are at great risk due to understaffed hospitals. While some may argue that this is a necessary part of profit-driven operations, the reality is that it compromises patient safety and devalues the work of healthcare professionals. It stands to reason that the extreme measures taken by these administrators undermine both ethical standards and the well-being of patients.

Conclusion and Call for Federal Intervention

The implementation of capitalism in healthcare has led to ethical and practical failures. There is a pressing need for federal intervention to ensure that healthcare remains a right rather than a commodity. Government oversight can help create a balanced system that prioritizes patient care and safety over financial gains.