This report seeks to address the wider problem of determining the optimal way in which the health system should be structured. An optimal system should provide effective services, in a way that is efficient in terms of time, management and funding, as well as provide services equitably to all members of the population. Achieving this is problematic from the outset, when considering health care under the premise of market failure. Theoretical understanding of markets tells us that market systems should be able to provide healthcare. However, due to failures stemming from information asymmetry and externalities, the market is unable to provide healthcare efficiently, and therefore government intervention is justified (Arrow 1963). The fact that the government has such a high level of intervention, across all areas of provision raises some important questions. Firstly, why does the government not regulate in order to address the market failures, rather than take over the role of primary service provider? Secondly, what can be going on within health care that defies the ability of so many markets to provide, and thirdly, what then makes us think the government can do a better job? When accepting such widespread provision of a good or service by the government, it must then be accepted that the expected outcomes will never be at the level as provided by the market. It is important to keep this understanding in mind when undertaking research such as what is presented here.