How Capitalism Will Save Us (77 page)

24.
Gina Kolata, “Co-Payments Soar for Drugs with High Prices,”
New York Times
, April 14, 2008.
http://www.nytimes.com/2008/04/14/us/14drug.html?pagewanted=print
.

25.
Ibid.

26.
Robert Bazell, “Strange Medicine,”
Slate.com
, June 23, 2004.
http://www.slate.com/id/2102844/
.

27.
Ibid.

28.
Ibid.

29.
Malcolm Gladwell, “Need, Not Greed, Is What’s Causing High Prices for Prescription Drugs,”
The New Yorker
, October 25, 2004.
http://www.heartland.org/publications/health%20care/article/
16022/Need_Not_Greed_Is_Whats_Causing_High_Prices_for_
Prescription_Drugs.html
.

30.
Thomas Bray, “Premium Pain Relief,”
Wall Street Journal
, July 23, 2002.
http://www.opinionjournal.com/columnists/tbray/?id=110002025
.

31.
Günter Verheugen, “Delivering Better Information, Better Access and Better Prices,” Speech at the European Pharmaceutical Forum, September 29, 2006.
http://www.montesquieu-instituut.nl/9353000/1/j9vvh6nf08temv0/vhefjfs6y9q2?ctx=vgg61g6 cels8&start_tab0=20
.

32.
Sally Satel, “Organs for Sale,”
The American
, October 14, 2006.
http://www.american.com/archive/2006/november/organs-for-sale/article_print
.

33.
Ibid.

34.
Ibid.

35.
Office of Inspector General, “A Comparison of Prices for Power Wheelchairs in the Medicare Program,” Department of Health and Human Services, April 2004.
http://oig.hhs.gov/oei/reports/oei-03-03-00460.pdf
.

36.
“A Testimony on Kyle Medicare Contracting Bill,” Association of American Physicians and Surgeons.
http://www.aapsonline.org/medicare/kyltest.htm
.

37.
Karen Lasser, Steffie Woolhandler, and David Himmelstein, “Sources of U.S. Physician Income: The Contribution of Government Payments to the Specialist-Generalist Income Gap,”
Journal of General Internal Medicine
, September 2008.
http://www.springerlink.com/content/ql727j6357270761/?p=61e20debe5e2441db52ae70e5347682a&pi=3
.

38.
Kurt Williamsen, “SCHIP of State: President Obama and Most of the Press Cheered the Passage of the State Children’s Health Insurance Program, but Can SCHIP Stay Afloat Long-Term?”
The New American
, March 2, 2009.
http://findarticles.com/p/articles/mi_m0JZS/is_5_25/ai_n31438421/
.

39.
Susan Okie, “Innovation in Primary Care—Staying One Step Ahead of Burnout,”
New England Journal of Medicine
, November 27, 2008.
http://content.nejm.org/cgi/content/full/359/22/2305
.

40.
Edmund F. Haislmaier, “Medicare’s Fatal Weakness: Expensive New Technologies are Rationed,”
National Policy Analysis
, March 2005.
http://www.nationalcenter.org/NPA525MedicareRationing.html
.

41.
Sue Blevins, “Let Seniors Get Off the Sinking Medicare Ship,” Cato Institute, April 7, 2004.
http://www.cato.org/pub_display.php?pub_id=2600
.

42.
Steven Malanga, “How to Stop Medicaid Fraud,”
City Journal
, spring 2006.
http://www.city-journal.org/html/16_2_medicaid_fraud.html
.

43.
“Legislative Malpractice,”
New York Post
, August 25, 2008.
http://www.nypost.com/seven/08252008/postopinion/editorials/
legislative_malpractice_126025.htm
.

44.
Stephanie Desmon, “Doctors in Short Supply in Rural Maryland,”
Baltimore Sun
, February 17, 2009.
http://www.baltimoresun.com/services/newspaper/printedition/sunday/ideas/bal-id.rural01mar01,0,6046663.story
.

45.
“Medical Malpractice Litigation Raises Health-Care Cost, Reduces Access, and Lowers Quality of Care,”
Journal of Medical Practice Management
, 2004.
https://www.researchgate.net/publication/8217146_Medical
_malpractice_litigation_raises_health-care_cost_reduces_access_and_lowers_quality_of_care
.

46.
Philip K. Howard, “Hearing on Medical Liability: New Ideas for Making the System Work Better for Patients,” Testimony before the Senate Committee on Health, Education, Labor, and Pensions, June 22, 2006.
http://help.senate.gov/Hearings/2006_06_22/howard.pdf
.

47.
Ibid.

48.
Ibid.

1.
David Leonhardt, “After the Great Recession,”
New York Times Magazine
, April 28, 2009.
http://www.nytimes.com/2009/05/03/magazine/03Obama-t.html
.

2.
Ibid.

3.
Ibid.

4.
Randall Holcombe, “Federal Government Growth Before the New Deal,”
The Freeman
, September 1, 1997.
http://www.independent.org/publications/article.asp?id=360
.

5.
John Maynard Keynes,
The General Theory of Employment, Interest, and Money
(New York: Harcourt, Brace & World, 1964).

6.
Quoted in Robert A. Mundell and Paul J. Zak,
Monetary Stability and Economic Growth: A Dialog Between Leading Economists
(Cheltenham, UK: Edward Elgar Publishing, 2002), p. 3.

7.
Edmund S. Phelps, “Corporatism and Keynes: His Views on Growth,” May 16, 2007.
http://www.columbia.edu/~esp2/CorporatismAndKeynes2007May16rev2.pdf
.

8.
Ike Brannon, “We Were All Keynesians Then,”
Cato.org
, January 9, 2006.
http://www.cato.org/pub_display.php?pub_id=5362
.

9.
Amity Shlaes,
The Forgotten Man: A New History of the Great Depression
(New York: Harper-Collins, 2007).

10.
Friedrich August Hayek,
The Road to Serfdom
(New York: Routledge, 2001).

11.
Ronald Hamowy,
The Encyclopedia of Libertarianism
(Thousand Oaks, Calif.: Sage Publications, 2008), p. 138.

12.
Paul Romer, “Economic Growth,”
The Concise Encyclopedia of Economics
(Indianapolis: Liberty Fund, 2007).
http://www.stanford.edu/~promer/EconomicGrowth.pdf
.

13.
Ronald Utt, “Learning from Japan: Infrastructure Spending Won’t Boost the Economy,” Heritage Foundation, December 16, 2008.
http://www.heritage.org/research/economy/bg2222.cfm
.

14.
Ibid.

15.
Bruce Bartlett, “The 81% Tax Increase,”
Forbes.com
, May 15, 2009.
http://www.forbes.com/2009/05/14/taxes-social-security-opinions-columnists-medicare.html
.

16.
Martin Feldstein, “Tax Increases Could Kill the Recovery,”
Wall Street Journal
, May 14, 2009.
http://online.wsj.com/article/SB124217336075913063.html
.

17.
Ibid.

18.
John Tamny, “The Fed Cannot Create Economic Growth,”
Forbes.com
, December 29, 2008.
http://www.forbes.com/2008/12/28/fed-gold-growth-oped-cx_jt_1229tamny.html
.

19.
Ibid.

20.
Robert J. Barro, “Government Spending Is No Free Lunch,”
Wall Street Journal
, January 22, 2009.
http://online.wsj.com/article/SB123258618204604599.html
.

21.
Ibid.

22.
Daniel Mitchell, “The Impact of Government Spending on Economic Growth,” Heritage Foundation, March 15, 2005.
http://www.heritage.org/research/budget/bg1831es.cfm
.

23.
Ibid.

24.
Ibid.

25.
Brian Riedl, “Why Government Spending Does Not Stimulate Economic Growth,” Heritage Foundation, November 12, 2008.
http://www.heritage.org/research/budget/bg2208.cfm
.

26.
Ibid.

27.
Julia A. Seymour, “Obama Economic Adviser Warns Spending Could Create Double Digit Inflation,” Business & Media Institute, April 22, 2009.
http://www.businessandmedia.org/printer/2009/20090422154308.aspx
.

28.
Paul Krugman, “Falling Wage Syndrome,”
New York Times
, May 3, 2009.
http://www.nytimes.com/2009/05/04/opinion/04krugman.html
.

29.
Hans-Werner Sinn, “Forget Inflation, Deflation Is the Real Worrier,”
Financial Week
, March 2, 2009.
http://www.financialweek.com/apps/pbcs.dll/article?AID=/20090302/REG/902279982/1028&template=printart
.

30.
Quoted in Brink Lindsey,
Against the Dead Hand: The Uncertain Struggle for Global Capitalism
(Hoboken, NJ: John Wiley & Sons, 2002), pp. 217–218.

31.
Ibid.

32.
Steven Malanga, “Doing Well Off Do-Gooders,”
City Journal
, April 22, 2008.
http://www.city-journal.org/2008/eon0422sm.html
.

33.
Ibid.

34.
Adam Smith,
The Wealth of Nations
(New York: Penguin Classics, 1999), p. 310.

35.
Friedrich Hayek,
The Constitution of Liberty
(Chicago: University of Chicago Press, 1960).

36.
Sheldon Richman, “Government Should Find Science? It Just Ain’t So!”
The Freeman
, March 2005.
http://www.fee.org/pdf/the-freeman/richman0305.pdf
.

37.
William Broad, “For Parts, NASA Boldly Goes … on eBay,”
New York Times
, May 12, 2002.
http://www.nytimes.com/2002/05/12/us/for-parts-nasa-boldly-goes-on-ebay.html
.

38.
Anne Kornblut, “Staff Finds White House in the Technological Dark Ages,”
Washington Post
, January 22, 2009.
http://www.washingtonpost.com/wp-dyn/content/article/2009/01/21/AR2009012104249.html
.

39.
David Espo and Jennifer Loven, “Obama: Congress Must Act Boldly and Now on Economy,” Associated Press, January 8, 2009.
http://abcnews.go.com/Business/wireStory?id=6601988
.

40.
Mark Skousen, “Is ‘Do Nothing’ the Right Response?”
Human Events
, Febuary 11, 2009.
http://www.humanevents.com/article.php?id=30641
.

41.
Ibid.

42.
Robert Higgs, “Instead of Stimulus, Do Nothing—Seriously,”
Christian Science Monitor
, February 9, 2009.
http://www.csmonitor.com/2009/0209/p09s01-coop.html
.

43.
Amity Shlaes, “Fifteen Minutes of Pain,”
Forbes.com
, April 30, 2009.
http://www.forbes.com/2009/04/30/1930s-great-depression-business-shlaes.html
.

44.
Ibid.

45.
Robert Higgs, “Why the Great Depression Lasted So Long and Why Prosperity Resumed After the War,”
Independent Review
, spring 1997.
http://www.independent.org/pdf/tir/tir_01_4_higgs.pdf
.

46.
Robert Higgs, “Recession and Recovery: Six Fundamental Errors of the Current Orthodoxy,” Independent Institute, March 5, 2009.
http://www.independent.org/newsroom/article.asp?id=2448
.

47.
Ibid.

48.
Hernando de Soto, “Citadels of Dead Capital,”
Reason
, May 2001,
http://www.reason.com/news/show/28018.html
.

S
TEVE
F
ORBES
is chairman, CEO, and editor in chief at Forbes Media and an internationally respected authority in the worlds of economics, finance, and corporate leadership. He campaigned twice for the Republican nomination for the presidency. His previous books include
Flat Tax Revolution, A New Birth of Freedom
, and the
New York Times
bestselling
Power Ambition Glory
.

E
LIZABETH
A
MES
is founder of BOLDE Communications, which advises corporate and individual clients on communications strategies. Her work as a journalist has appeared in
BusinessWeek, New York, Vogue
, and other publications.

Copyright © 2009 by Steve Forbes and Elizabeth Ames

All rights reserved.
Published in the United States by Crown Business,
an imprint of the Crown Publishing Group,
a division of Random House, Inc., New York.
www.crownpublishing.com

C
ROWN
B
USINESS
is a trademark and C
ROWN
and the Rising Sun colophon are registered trademarks of Random House, Inc.

Library of Congress Cataloging-in-Publication Data Forbes, Steve, 1947–
    How capitalism will save us / Steve Forbes and Elizabeth Ames.—1st ed.
       p. cm.
1. Capitalism—United States. 2. United States—Economic policy. 3. United States—Economic conditions. I. Ames, Elizabeth. II. Title.
HB501.F646    2009
330.12’20973—dc22                                           2009032751

eISBN: 978-0-307-46311-1

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