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A response to my least charitable critics (2020)

3 pointsby colinprince7 months ago

1 comment

zahlman7 months ago
The title doesn&#x27;t make it at all obvious what or who this is about. It appears to be a followup to <a href="https:&#x2F;&#x2F;randomcriticalanalysis.com&#x2F;why-conventional-wisdom-on-health-care-is-wrong-a-primer&#x2F;" rel="nofollow">https:&#x2F;&#x2F;randomcriticalanalysis.com&#x2F;why-conventional-wisdom-o...</a> , recently posted at <a href="https:&#x2F;&#x2F;news.ycombinator.com&#x2F;item?id=41870858">https:&#x2F;&#x2F;news.ycombinator.com&#x2F;item?id=41870858</a> (and also several other times since the original publication, but this is the first time it got traction on HN).<p>The thing that isn&#x27;t clear to me in the author&#x27;s model is why it should make sense to see this kind of power-law result (it obviously cannot extend indefinitely, since at some level of income, health care spending would be predicted to exceed 100% of income). This should be at least as much of a problem as the &quot;poor countries are predicted to have negative health care expenditure&quot; problem that the author points out with linear models.<p>(If we&#x27;re concerned with out-of-sample data in judging the soundness of a model, then presumably we should also be concerned with these sorts of hypotheticals. The author does seem to note the concern, but IMO dismisses it too readily.)<p>A more intuitive model, IMO, would be a fixed percentage of income <i>in excess of some threshold</i> - but this is also problematic in that our &quot;threshold&quot; for covering basic needs is apparently highly variable (given how poor some countries are compared to the US).