Duke Law and Economics Society.
​Fifth Annual Triangle Law and Economics Conference​.
Rethinking Healthcare:
The Panel.
How may regulations based on Behavioral Economics solve the healthcare crisis?
Healthcare costs are spiraling out of control. Panelists discuss different behavioral approaches that will focus healthcare's efforts on prevention over all else. This focus may include a systemic shift away from physicians and toward life-coaches, and may place needed constraints on providers' opinions of what is "necessary" to achieve health.
Henry Grabowski
Professor of Economics, Duke University.
When it comes to healthcare, people often behave myopically, regretting their lifestyle choices when finally confronted with their full costs. Behavioral techniques may work well to supplement the conventional economic incentives within the healthcare industry. These may also be used to improve the ACA, which is failing to control healthcare costs.
Sim Sitkin
Professor, Fuqua School of Business
Sim Sitkin moderates this panel. He asks, "What are the current challenges in healthcare and how can behavioral economics be used to address them?" He also asks what advantages these different approaches have over neoclassical economic approaches. Click below to see panelist introductions, questions, and his own thoughts.
Brad Wilson
CEO, Blue Cross Blue Shield NC.
Over 20% of BCBS NC insurance payouts are for problems that stem from lifestyle choices. Eliminating these costs may require workplace changes, provider partnerships, and better product design. Additionally, the ACA could learn from the auto insurance industry. Finally, we all must address how we want our end-of-life care to be handled.
Barak Richman
Professor, Duke Law.
"The 'house' is on fire." The healthcare system is essentially a "blank check" to providers, and we as a nation are leaving a lot of money on the table. Behavioral economics is sorely needed to solve this healthcare crisis. For example, instead of demanding more physicians, let's start demanding more life-coaches and psychologists.