Opinion from a Libertarian ViewPoint

Posts Tagged ‘Flexner Report’

Obamacare – How Did We Come to This?

Posted by Martin C. Fox on July 16, 2012

There have been many Erie Times editorials extolling the virtues of Obamacare

We need to look at why this regulatory nightmare has come to be.  Control of demand and cartelization of the medical biz began in 1910 with the Flexner Report .

Abraham Flexner, an unemployed former owner of a prep school in Kentucky, and sporting neither a medical degree nor any other advanced degree, was commissioned by the Carnegie Foundation to write a study of American medical education. Flexner’s only qualification for this job was to be the brother of the powerful Dr. Simon Flexner, indeed a physician and head of the Rockefeller Institute for Medical Research. Flexner’s report was virtually written in advance by high officials of the American Medical Association, and its advice was quickly taken by every state in the Union.
The result: every medical school and hospital was subjected to licensing by the state, which would turn the power to appoint licensing boards over to the state AMA. The state was supposed to, and did, put out of business all medical schools that were proprietary and profit-making, that admitted blacks and women, and that did not specialize in orthodox, “allopathic” medicine: particularly homeopaths, who were then a substantial part of the medical profession, and a respectable alternative to orthodox allopathy.
Thus through the Flexner Report, the AMA was able to use government to cartelize the medical profession: to push the supply curve drastically to the left (literally half the medical schools in the country were put out of business by post-Flexner state governments), and thereby to raise medical and hospital prices and doctors’ incomes.

– from Murray Rothbard “Making Economic Sense

*Note the mention of the Rockefeller Institute and Carnegie Foundation. Recurring names of those that seek to profit from control our lives. Think the Fed, UN, Trilateral Commission, the Bilderburgs, The Open Society and Council of Foreign Relations. Read the rest of this entry »


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