Friday, December 11, 2015

House Calls

You had me down 21 to zip
Smile of Judas on your lip
--Robert Palmer

Discussion of the decline in physicians house calls over the past 50 years. Studies estimate that house calls comprised about 40% of doctors's visits in the 1940s before slipping into decline in the 1960s. Today they make up less than 1% of consultations.

Author proposes that subsidized healthcare via private insurance and Medicare et al have distorted market signals. Namely, docs are less likely to sense customer satisfaction signals w.r.t. house calls if they longer make house calls since patients no longer vote with their wallets.

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