Power abuse & Monopoly Risk in Healthcare System: Heterodox Analysis & Empiric Ilustration

It is generally accepted that the potential for the abuse of power is inherent in medicine, especially under a monopolistic system. The case of doctors in Nazi Germany provides a frightening example of such power abuse. History provides additional examples of grave power abuse by government-run healthcare entities. In this paper, we first analyze the historical and institutional context of doctors’ behavior in Nazi Germany and then proceed to analyze instances of medical power abuse in other totalitarian countries. Subsequently, we examine some dangerous trends in modern democracies. While state-run medicine has the capability to provide effective solutions in certain cases, we should not overlook the potential dangers of power abuse and the degradation of service quality resulting from the state’s domination in healthcare. It is questionable whether ethical guidelines and proper education alone can substitute institutional means to safeguard patients’ rights. These dangers need to be carefully analyzed when determining medical policy. For example, the well-known problem of information asymmetry between doctors and patients can be effectively mitigated in a free society with a competitive market for healthcare.