The study concludes that regulations through the government’s “direct command and
control”—for example, through registration and licensing of professionals and
medical facilities—are necessary but inadequate to reorient the private sector’s
contribution toward achieving the goals of efficiency, affordability, and equity of
health care. The risks of government capacity to regulate are “policy capture” due to
conflict of interest and corruption, administrative constraints, and insufficient
information to furnish evidence for regulation.