CPSC Recalls – Parenting.com.

Remarkably, the highchair recall presents an interesting parallel to the healthcare reform bill passage that merits discussion.  I’m not coming down on one side or another, but today’s “high chair recall” makes a clear point about the free market and government regulation.

If a company produces a dangerous product, consumers hold them accountable.  This is why we see so many voluntary recalls these days – companies understand that it is better for everyone that they find potential problems before consumers get hurt.  If they don’t, they may be in business tomorrow, even the next day.  But their days are numbered.  Consumers put irresponsible companies out of business in a free market economy.  Ultimately, the federal government steps in and creates legislation to compel adherence to specific standards that the American people deem mandatory.

Health insurance has two interesting fundamental precepts that lend the overall business its form.  These two principles are called moral hazard and adverse selection.  These are the “forces” that naturally arise from the business of insuring peoples’ health.  I won’t get into the details of these principles, you can follow the links to learn more.

My point in mentioning these two principles is that in all the discussions we have heard, we have never heard these principles mentioned by our legislators.  On either side of the “aisle”.  Yet, when we speak about insuring pre-existing conditions, which is one of the louder points being made, these two principles make up the fundamental character of the health insurance playing field.  Any legislation passed is going to “push” at these naturally occurring forces, and mandate a necessary shift away from the fundamental meaning of insuring against accident and illness.

In simpler terms, if you legislate this industry too much, it ceases to function as insurance.  You can still call it that, but it doesn’t mean it is anymore.  And perhaps that is indeed a better model of protecting peoples’ health.  But as Americans, we believe in having a voice in our destiny.  We all have a say in the direction our country takes.  We are called upon to voice our opinions so that our representatives can vote our will.

It is therefore clear that we should be educated as to the short term, long term and fundamental impact that this legislation poses.  I’m hearing much about cost, and the financial impact in terms of national debt and the financial impact upon individuals, but I’m not hearing anyone sitting down and being the teacher.  Explaining the fundamentals to us.  This is a highly complex industry.  There are subtleties that have tremendous impact.  As Americans, we needed a class in Health Insurance 101.  Then we needed a class on each of the possible methods to improve the current system.  Then, and only then, could we have voiced an educated opinion.  Instead, the majority of Americans do not favor this legislation, when really, know one, not even the legislators, know exactly what’s in it (by their own admission).

Ultimately, the health insurance industry is like any other industry.  It is just so much larger than any other.  It is also so much more important to us at the critical moments in our lives.  And therefore we experience heightened emotion surrounding this issue.

Again, it seems that the majority of  Americans did not favor this legislation.  So perhaps instead of discussing the potential merits or drawbacks of a nationalized healthcare system, or even whether that’s what this bill will create; instead, we should talk about how it feels to us as Americans that our Congressional representatives do not feel compelled to vote their constituents will.

Those who favor this legislation are celebrating their victory.  However, it should concern the victors that their victory comes by way of a significant dissolution of one of the fundamental principles of our democracy – majority rules.  We cannot feel good about legislation that passes without the majority of voters wanting it.  It may be what the minority wants today, and that is a victory for them (or us, not taking sides) to be sure, but tomorrow, when they (or we) are with the majority, there’s no guarantee that their (our) voice will be heard.  It’s very clearly bad precedent for a democracy and emotionally it demoralizes the nation’s majority.  The emotional toll may have a lasting impact on our society for years to come.

This blog and its administration seeks to avoid taking any political positions.  Any inadvertent support of one side over another with respect to the healthcare reform legislation is unintentional.  We seek to highlight the emotional and psychological impact of this debate and help create clarity through acknowledging the impact that emotions have on this very important issue.

Oh, and make sure you check to see if you’re using a Graco Model 1757412 high chair.  Especially if you’re uninsured.