Occupational License Laws May Hurt Health Care Competition

Law360 (June 25, 2019, 2:46 PM EDT) -- Occupational licensing — regulations requiring a license to practice a given profession — can help ensure that members of a profession maintain a certain standard of quality and expertise, which can benefit consumers. However, these regulations can also increase barriers to entry — thereby lowering supply, reducing competition and increasing prices — which can harm consumers.

This topic is particularly relevant in health care. Quality of care is clearly in the public interest; yet, the U.S. is experiencing high and rising health care costs and shortages of providers, problems that may be worsened by overly restrictive occupational licensing, particularly in the...

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