Unfortunately, under the current system, price and quality of care are relatively uncorrelated. Which makes sense as we learn how arbitrary pricing is.
But as I understand how medical billing actually works, if only a single patient uses an MRI machine in a year, they would pass on the entirety of the cost to the single patient. But a hospital that uses the MRI constantly spreads the cost across all patients. In the latter hospital, they would also have better outcomes since they have more experience and specialization in the procedure.
This is also the opposite of how it would work in a market-based industry. In an auto-shop, I know how much I can charge for any service, and before buying equipment and personnel to expand my services, I determine if it is worthwhile to invest the capital.
But as I understand how medical billing actually works, if only a single patient uses an MRI machine in a year, they would pass on the entirety of the cost to the single patient. But a hospital that uses the MRI constantly spreads the cost across all patients. In the latter hospital, they would also have better outcomes since they have more experience and specialization in the procedure.
This is also the opposite of how it would work in a market-based industry. In an auto-shop, I know how much I can charge for any service, and before buying equipment and personnel to expand my services, I determine if it is worthwhile to invest the capital.