Health Spending 1: Wastes in US health spending

The Economist in this June 17th 2011 issue produced this interesting chart.

In 2009 alone, some $600 to $850 billion of unnecessary care, fraudulent claims and other forms of wasteful health spending were made. The accompanying brief explanation of the graph says

A patient may see many skilled specialists, none of whom co-ordinate with one another. Payment systems are unfathomably complex and highly variable. Doctors order duplicative or unnecessary tests... All these problems are due to a simple, structural failing: the more services a hospital provides, the more it is paid.

The Business Pundit's US Healthcare vs. the Rest of the World: Part 2 also made these observations below.

That healthcare providers in the US can charge as much as they can, that the high administration cost contributes to high healthcare costs there.

I am just curious why the chart artist/s say that "The US government is less involved in price regulation..." So they are advocating more "price regulations" of healthcare by the US government? Tough luck, I don't believe that. That's a convenient excuse to justify more government intervention in healthcare and other sectors later on.