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Megan McArdle

Megan McArdle - Megan McArdle is a senior editor for The Atlantic who writes about business and economics. She has worked at three start-ups, a consulting firm, an investment bank, a disaster recovery firm at Ground Zero, and The Economist. She is currently on leave.
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Megan was born and raised on the Upper West Side of Manhattan, and yes, she does enjoy her lattes, as well as the occasional extra-dry skim-milk cappuccino. Her checkered work history includes three start-ups, four years as a technology project manager for a boutique consulting firm, a summer as an associate at an investment bank, and a year spent as sort of an executive copy girl for one of the disaster-recovery firms at Ground Zero � all before the age of 30.

While working at Ground Zero, Megan started Live From the WTC, a blog focused on economics, business, and cooking. She may or may not have been the first major economics blogger, depending on whether we are allowed to throw outlying variables such as Brad Delong out of the set. From there it was but a few steps down the slippery slope to freelance journalism. She has worked in various capacities for The Economist, where she wrote about economics and oversaw the founding of Free Exchange, the magazine's economics blog. She has also maintained her own blog, Asymmetrical Information, which moved to The Atlantic, along with its owner, in August 2007.

Megan holds a bachelor's degree in English literature from the University of Pennsylvania and an M.B.A. from the University of Chicago. After a lifetime as a New Yorker, she now resides in northwest Washington, D.C., where she is still trying to figure out what one does with an apartment larger than 400 square feet.

Question of the day

By Megan McArdle
Feb 6 2008, 11:12 AM ET Comment

A reader, a doctor, sends it in:

My question to you, and maybe you could lead me to a resource where I can learn more about this, is what is the effect of litigation on the economics of health care on the macro level. I feel like there has been no dialogue on this matter during any of these presidential debates even though this is an important issue from the health care provider standpoint (physicians, nurses, hospitals etc).


I don't have good data on the macro effects of tort reform; the trial lawyers push one set of studies, the tort reformers another, but I've never sat down and tried to pull it all apart. I do know that no one, except trial lawyers, thinks that our current system is very good. Whether you get sued has distressingly little to do with whether you were negligent (and yes, I mean that negligent doctors escape lawsuit, as well as the reverse). There are certain kinds of injuries, most notably birth defects, but also cognitive deficits, that garner sympathy awards from the jury--which is why, in states with bad tort systems, there are actual shortages of these sorts of doctors developing.

The problem mostly obsesses doctors, who are a large, but not the only, source of costs in the medical system. If there is a macro effect, it is almost certainly because of defensive medicine--unnecessary tests ordered because of lawsuits. Nor is that probably limited to states with tort problems. We've developed a medical culture that prizes exploring every remote possibility over common sense (except for primary care physicians, who get reimbursed for rushing patients through as quickly as possible). That probably wouldn't go away even if we had a better malpractice system.

Overlawyered is a very good place to start with these issues. Readers are encouraged to suggest other research or resources in the comments, or indeed just to vent about our legal and medical systems.

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