Semis and Frugal Innovation

[Arthur Hanson]

Dumb Asthma Whistle and Smartphone Measure Asthmatics' Peak Expiratory Flow | Medgadget

The power of the semi industry to lower the costs of devices dramatically by literally a thousand fold and more opens the door for a future at this point most can't even imagine, let alone execute. Innovation that isn't affordable isn't innovative. Frugal Innovation from computational power, memory, physical interaction is where the industry has to go to make a world we want to live in. Medical is the largest increasing cost is the greatest threat to the US as it is dramatically increasing to the point it literally threatens the viability of the US financial system. The Pentagon has ruled debt the greatest threat to the US and just the unfunded Medicare debt is at 27 trillion and climbing fast. The above is just one example of frugal innovation made possible by the semi sector. The Silicon Valley culture is the most innovative culture on the planet and on us falls the greatest responsibility for we have by far the greatest power to not only save the world, but make it a better place. Affordable innovation that seeks to maximize each and every ones potential is the key. Medical will be the greatest single market for semis or our very system might collapse into chaos. Never has any industry demonstrated the power to increase functionality and lower costs by factors and not percentages in the history of man like the semi sector. Applying this to other fields and the world around us will tell us who the true heroes are.

Comments and extensions of this subject welcome and solicited

 

[Daniel Payne]

I've always believed that the best way to lower healthcare costs is to reward people like myself that are healthy by lowering our premiums, then conversely rising the premiums on those people that choose un-healthy life choices like obesity, drug abuse, frequent office visits, etc.

Read about what Japan has legislated to curb obesity with financial penalties and fitness encouragement.

 

[ippisl]

Daniel, i don't think financial penalties would have that effect on obesity. Many people who should have much stronger motivation , i.e. poor healthcare , sometimes seriously poor(heart attack, diabetes etc) don't seem to be affected much by it.

In the end i think it is a complex subject , without many magic bullets, currently.

On the other hand , technology could have a big effect, either be it by cheaper medtech and treratments, or even better food technologies - like sugar that's 4x sweeter with the same amount of calories, or salt that's 3x saltier(so less issues with blood pressure) - all due to nanotech, or tasty ice cream with the same taste but much less calories(due to specially synthesized fats) , or the green economy + electric cigarettes greatly solving many lung diseases , etc.

 

[hist78]

I've always believed that the best way to lower healthcare costs is to reward people like myself that are healthy by lowering our premiums, then conversely rising the premiums on those people that choose un-healthy life choices like obesity, drug abuse, frequent office visits, etc.

Read about what Japan has legislated to curb obesity with financial penalties and fitness encouragement.

Your idea can only cover a portion of people who need healthcare. There are many situation that healthcare need has nothing to do with the prior health status before he or she got ill or went to see doctors. For example a car accident, a flu, a work injury, or a pregnancy.

We have to understand that technology has its limitation in managing healthcare cost. Especially in United States many health insurance companies are for profit entities. Even many hospitals are fake non-profit organizations. Their primary goal is to minimize their "own" cost but maximize their profit. There is no incentive for them to reduce customers' cost (like the premium we paid). As matter of fact, many people don't even recognize that many Blue Cross Blue Shield companies are now for profit companies.

Once a guy reminded me that if for profit healthcare organizations want to increase their absolute profit amount, they will have to increase both revenue and cost. Why? One obvious reason is that they know they can't get away if they have a huge net profit margin in percentage (because each state's insurance regulator won't allow it). So they choose to increase their revenue (such as increase our premium payment, increase the price for procedures and drugs) in large amount to pump up more profit and let the cost go up at the same time. With the same profit margin percentage, a larger amount of revenue will achieve larger amount of profit for them.

Wall Street generally likes a company with growing profit and growing revenue and doesn't like a company with shrinking revenue (even that company can maintain the same "amount" of profit).

Add to the problem is that in most US healthcare markets there isn't much free market competition. Can you order a doctor service from Amazon.com and they will deliver it to you the next day? Can you "legally" order medicine from a 100% reputable Canadian online pharmacy? Can you easily open a new hospital in a city to compete against an existing but expensive hospital? No way!

Without reforming this for profit healthcare payment model, a good technology innovation will only be widely adopted because it will increase their profit or at least it doesn't negatively impact their profit.

So don't be surprised that why we already witnessed so many new, excellent, and efficient technology in our current healthcare system but we only saw our healthcare cost skyrocketing.

 

[Brad Pierce]

Yes, obesity is going to lead to huge health care costs Another obesity myth debunked | ScienceNordic , but, no, obesity is not primarily a lifestyle choice Obesity epidemic is not caused by genes or lifestyle | ScienceNordic .