Why Obamacare Is Like A Government Smartphone

Engineering Thinking ^ | 10-01-13 | Engineering Thinking

[Etpa]

Engineering Thinking principle: comparative analysis

When you make a decision to purchase an auto or a cell phone or a home, you have lots of choices, because you have a lot of companies competing for your business. You can compare features and prices -- do a comparative analysis -- and arrive at a rational decision of which is best for you. Of course, what is best for you may not be best for others, so having many options helps to ensure that most people can select a choice that best satisfies their particular needs and preferences. Comparative analysis leads to constructive competition.

However, when the federal government decides to set up a program such as Social Security, Medicare, or Obamacare, we have only one choice. This leaves us at a competitive disadvantage, since we will not be able to do a real-world comparative analysis of any other choice. This lack of competition not only restricts our freedom to choose, it allows to remain in place inefficient and even counterproductive programs, funded by the taxpayer whether the taxpayer likes it or not.

This is a major reason why the federal government's activities should be restricted to essential national services, such as the military and foreign affairs. When the government gets involved in social services, the historical record indicates that the government's approach, although it may seem compassionate and somewhat effective, is actually very inferior compared to free market alternatives, primarily because government is inherently inefficient (see "It's Just A Systems Thing").

In addition, the proponents of big government social programs never admit that their programs are deficient, no matter how poorly they perform; they always find something or someone to blame. (The Soviet Union routinely blamed "bad weather" for its abysmal economic performance during its almost 70 years of existence.) If Obamacare survives, this is why those who predict it will self-destruct are likely wrong: no matter how ridiculously bad it may be, the proponents of big government will find some excuse to keep the Frankensteinian monster alive. Without a competing program in place to prove the proponents wrong, the blame game will go on and on, just as occurred in the Soviet Union.

Government no-choice social programs are the equivalent of having a government smartphone plan, where your "choice" is limited to a single smartphone, designed and built by the government, available with only certain features, and at a fixed non-negotiable price. And you have to buy one whether you want it or not, or you will be fined or imprisoned.

For these reasons it is best to leave social services to the states, or even better to private charities, churches, and civic organizations (see "What Would Happen If The Government Didn't Take Care Of Us?"). When alternatives exist, eventually those programs that perform better become known for their success, allowing them to flourish, while those that perform poorly by comparison become known for their failure, allowing them to die out, and be replaced by the more successful programs. More importantly, alternatives provide each individual citizen with the freedom and comparative knowledge to choose whatever is best for them.

-Ed Walker