The imposition of legal and regulatory constraints on market prices—price controls, or rate suppression in the case of the property/casualty insurance market—is an important tool with which public officials can effect wealth transfers among groups and economic sectors.
Last month’s Health Policy Prescription addressed Obamacare’s presumption that state-based “exchanges” would choose health insurance for their residents, and recommended that states decline to collaborate, in anticipation of repeal. Another approach is making the rounds.
