[WalterBright]

It's the primary cause. See the article I linked to. Government payments, subsidies, regulations, and tax policy all act to distort market incentives.

[scientistem]

Hmm, I suppose we have different standards for evidence.

[WalterBright]

Why have software prices trended to zero, in spite of the desires of their capitalist creators to make it as expensive as possible?

[scientistem]

Well, I’d assume price competition. (I appreciate the response!) How can you expect prices to improve if you can’t shop around?

[WalterBright]

Shopping around in health care is greatly restricted by government policy. Tax policy, for example, is why health insurance tends to be tied to your employer, unlike car insurance. The supply of MDs is closely controlled and restricted by the AMA in order to drive up prices.

See "Competition and Monopoly" by Frecht.

The supply of drugs is heavily restricted by patents and the FDA. See "Regulation of Pharmaceutical Innovation" by Peltzman.