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Wayne

I reckon there is more to it than that. Ultimately, there is little to no real incentive to control health costs. Why?

Because they are largely either funded by govt (which is notoriously bad at controlling costs), or through health insurance. New Zealand has a mixture.

I would expect that the health insurers exert little, if any, pressure on pricing for health. It isn't in their interests at all. I have come to the realisation that insurance companies are actually secretly delighted with increasing claims (which they encourage in New Zealand in healthcare, especially since most people are on a plan where they pay 20% and the insurance company 80%) - whan claims increase, the cost of insurance premiums can "justifiedly" be increased.

I reckon it is kinda corrupt - made worse by the fact that in NZ the dominant insurer (80%+ of the market) also owns hospitals and clinics offering elective surgery.

Having said that, you're right - the quality and cost of healthcare is increasing, I just don't know that the "competition" is there to control prices.