Megan's model
2007-09-09 · Original WordPress address
Megan from up the street in Sacto (that's Sacramento for you out of town folks) thinks people don't think enough about risk, they know too little about the various options available in the market and they don't like to comparison shop and would rather some else would do it for them. She says,
You know what makes good sense for that model of the individual? Government based health care that does a decent job by me. You know what doesn't make sense? For profit insurance agencies who do not have my best interests at heart.
My model of individuals is very similar to Megan's. I think they have, what economists call, behavior anomalies. But where Megan and I part ways is in her suggestion that government has my best interests at heart. My model of government is that its filled with people that happen to have the same behavior anomalies as the rest of us. Why should I believe those people, with those flaws, will do better by me than I would?
(h/t MR)
UPDATE: VC has some better thoughts.
SUPER UPDATE: Megan (the one down the street in Washington D.C.) has even better thoughts.