Fallacy: Governments cannot reduce costs

One argument made by conservatives and libertarians against universal health coverage is that governments are incapable of controlling costs. This is incorrect. Before we dive into that, however, let's work through a couple of definitions. When discussing health care, many people (especially pundits and politicians) refer to "cost" when they mean "spend". "Cost" refers to price at an individual level, whether for a person or a procedure. "Spend" is an aggregate amount of the costs of all the procedures for a population.