Although numerous factors have contributed to the explosion of
health-care costs—an aging population and expensive technology, for
example—a chief driver is government itself. WWII-era wage controls,
followed by the tax preference for employer-provided health insurance,
combined to create the third-party-payer conundrum vexing us today.
Medicare and Medicaid made the cost problem worse. It's the same
dynamic driving up college tuitions: Massive government subsidies
encourage massive price hikes, which then ostensibly justify yet more
government intervention to bring prices down.
http://reason.com/archives/2012/08/22/big-government-ratchet-turns-another-cli
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