Here is my four box theory of defensive medicine as viewed through the eyes of Americans
Rule #1 for physicians: Always be on top.And you wonder why doctors order lots of tests. Some doctors and patients may be willing to experience some anxiety for the unknown. But most won't, especially since neither party is directly paying for the testing. This selfish interest is rooted in moral hazard, at the expense of national economic security. It is a 99 trillion dollar moral hazard.
Most doctors aren't going to sacrifice their self interests for the common economic good especially when the only alternative to cheaper care and good outcomes is cheaper care and losing your home.
Thus is the nature of defensive medicine. A stealth tax that we all pay for in unaffordable premiums and reduced wages. Those that claim it doesn't exist need only look to the four box theory to understand why it's alive and well in America.
