On John Stossel's show tonight the topic of a free-market health care system was discussed. The topic was brought up about insurance companies making a "evil" profit. Stossel and his guest John Mackey touched on a great point about the innovation that market profits create in the health care industry. However, they both should've gone into more detail. Sure, profits do create incentives for companies to create new products to bring in more revenue, but by increasing their revenue they also INCREASE their competition. The more money a company in an industry brings in, the more likely a competitor will enter the industry to get a piece of the pie. When this happens, competition among the companies drives costs down. Who does this benefit? The consumer.

This is economics 101. More competition = lower prices for the consumer.

So in conclusion, PROFITS ARE NOT EVIL.

Visit Stossel's website at FoxBusiness.com - His show is on Thursdays at 8pm on FBN.