Current Events — HabitableZone

Current Events » in reply to Sicko

The start of the HMO began in Nixon's Oval Office

February 17, 1971
5:30 p.m.

Ehrlichman: "We have now narrowed down the vice president's problem on this thing to one issue and that is whether we should include these Health Maintenance Organizations like Edgar Kaiser's Permanente thing."

Nixon: "Now let me ask you...you know I'm not too keen on any of these damn medical programs."

Ehrlichman: "This is a private enterprise one."

Nixon: "Well that appeals to me."

Ehrlichman: "Edgar Kaiser is running this Permanente deal for profit and the reason he can do it...I had Edgar Kaiser come in, talk to me about this, and I went into some depth. All the incentives are toward less medical care. Because the less care they give them, the more money they make."

Nixon: "Fine."

Ehrlichman: "...and the incentives run the right way."

Nixon: "Not bad."

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