>Does anyone really believe health care prices are correct?
Yes. Market clearing prices are set by the intersection of desire/need and scarcity.
Health care prices can be virtually as high as you like if you can make health care scarce enough, because pretty much everybody wants to live.
The greatest profits are usually found where scarcity meets desperation.
This is also why most large corporations spend half of their time trying to tweak the desire side (advertising) and the scarcity side (market manipulation/intellectual property/contractual exclusivity/lobbying) in a bid to secure margins. De beers is probably the clearest example of success in these endeavours.
Yes. Market clearing prices are set by the intersection of desire/need and scarcity.
Health care prices can be virtually as high as you like if you can make health care scarce enough, because pretty much everybody wants to live.
The greatest profits are usually found where scarcity meets desperation.
This is also why most large corporations spend half of their time trying to tweak the desire side (advertising) and the scarcity side (market manipulation/intellectual property/contractual exclusivity/lobbying) in a bid to secure margins. De beers is probably the clearest example of success in these endeavours.