Abstract

reform of the health care industry have never been better. Members of the new administration appear to be comfortable with relying on competitive forces to police markets, and they eschew command-and-control regulation whenever possible. Moreover, the new Republican majority in the United States Senate may significantly enhance the ability of procompetition health reformers, like Senators Robert Dole and David Durenberger, to develop and enact the necessary legislation. Whether this general orientation toward economic regulation will be applied to the health care industry remains to be seen, but it is probably safe to assume that the White House and the Ninety-Seventh Congress will be more receptive to competition proposals, particularly those that modify current methods of financing health care, than were their predecessors. The purpose of this paper is to explain why antitrust is an essential element in any serious attempt to make this market more competitive.

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