If you got a dollar each time the federal or state government promised that new regulations of the health care market would reduce the cost of health care—and it subsequently failed to deliver on that promise—you would be a rich person. The Affordable Care Act is the most recent example of such failed promises, obviously. But certificate of need laws take the cake at the state level.
As Veronique de Rugy explains, CON restrictions come in addition to state licensing and training requirements for medical professionals. They require that all medical providers wanting to build or expand an existing health care facility, offer new services, or acquire new medical equipment must first gain approval from state regulators.