There is an established order and protocol for most things and efforts to always bring about more total control through more order and protocol. This is why so many of the largest human organizations and institutions are so bureaucratic, so hive-like and so hierarchical.
A recent Gallup poll and a poll done shortly after 9/11 shed light on how healthcare’s hyperinflation and under-performance is fueling the Trump and Sanders phenomena. Financial anxiety and a general sense that things aren’t working sow the seed for movements. On the bright side, the horrible under-performance of how healthcare gets purchased and delivered has caused a few positive responses already
Co-ops created under Obamacare reported net assets despite losing millions because they used an accounting trick approved by the Centers for Medicare and Medicaid Services. Tax filings for 18 co-ops, including nine that collapsed in 2015, also revealed that co-op CEOs were paid handsomely before many had to shut down. In July 2015, the Centers for Medicare and Medicaid Services amended its agreement with co-ops, allowing them to list $2.4 billion in loans they received from taxpayers as assets.
For John Kuhn, a simple X-ray after a snowboarding accident turned into an accounting nightmare when the hospital billed him $20,000 for a surgery he never had. "So I had to go down in front of the billing department no less and pull up my shirt and show them that I did not have any major scarring on my stomach at all," Kuhn said. It turns out the hospital's hard drive had been stolen along with Kuhn's medical records.
IT WAS DURING the financial crisis that Andrew Lo had his epiphany: The way to save health care from ever-rising costs is by bringing in the banks. Specifically, by packaging drug development costs into securities to be bought and sold by Wall Street—the very, um, mortgage-bundling technique that blew up the economy in 2007. “The reason the financial crisis happened is not because securitization didn’t work. It happened because it worked way too well,” says Lo, a professor of financial engineering at MIT. Securitization injected a huge pool of money into mortgages—what if you could inject that pool of money into a worthwhile cause and, ahem, do it responsibly?