Consumer Sovereignty Is Defined By Hurley

994 Words Jul 3rd, 2015 4 Pages
You wake up one morning and feel a lump in your armpit. You’ve been noticing that you’re more tired than usual over the past couple months. You decide to seek out the services of your physician to address your concerns. You find your way to the doctor’s office and you have a conversation with your physician. He feels your lump and describes the several possibilities of what the lump may be caused by. He prescribes blood work and some other tests to determine the nature of your problem and to follow up with him in 3 weeks. Three weeks later you revisit your physician and he tells you that you have a serious form of cancer and that he recommends that you immediately begin chemotherapy. He provides you with some prescriptions for nausea and follow-up instructions and sends you on your way.
Consumer sovereignty is defined by Hurley (2010) as “the assumption that consumers are the best judges of their own welfare and that their decisions should determine the amount and distribution of goods in society.”
Healthcare presents a market that is not like any other industry. Individuals of the public visit their healthcare provider to obtain advice. The general population lacks the necessary specialized information and knowledge to make appropriate or educated medical decisions. This is called asymmetric information more generally defined as “a situation in which participants on one side of a market have more information relevant to a transaction than do those on the other side.…
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