CONTACTS AND CRONYISM:
The intensity with which some American companies try to use the government to trick or deceive consumers is astonishing, yet the extent to which lawmakers seem content to cater to these crony pursuits never disappoints, either.
Case in point: the current attempt to protect contact lens sellers from competition at the expense of consumers.
An estimated 40 million Americans wear contact lenses. That’s a $4 billion industry.
Thanks to the heavy-handed government regulation of all things health care, contacts already cost more than they should. However, if an ongoing effort to reduce competition through government cronyism were to succeed, costs might soon rise even more.
What makes the contact lens market unique — and also leaves it extra vulnerable to crony intervention — is the fact that customers are required by federal law to obtain a prescription from a licensed optometrist in order to purchase lenses.
It is a rare instance where prescribers are also sellers, which leads to a cozy relationship between manufacturers and the doctors who can steer patients toward their brand.
Prescriptions are brand-specific, which makes it difficult for consumers to shop around. Choosing a different brand would require paying for another exam in order to obtain a new prescription.
The simplest solution would be to do away with the gatekeepers altogether and allow the purchase of contact lenses without a prescription.
It works just fine that way in Europe and Japan, but manufacturers and doctors nevertheless protect their legal mandate through lobbying by citing health concerns, even as the same manufacturers happily sell to overseas markets without the same requirements.
Culture of corruption.