Fewer options, better healthcare?

Over at Discover, Elizabeth DeVita-Raeburn makes an interesting point about flaws in our current healthcare system. Historically, we've put a lot of effort into innovation, and not enough into building solid bases of evidence about which treatments actually work. Her argument: Americans would be better off if we had fewer options when it came to medical care. The assumption she's making (and it's not out of line) is that if we did more of the kind of large-scale, double-blind, placebo-controlled studies that offer useful evidence about effectiveness and safety, then many of the treatments options we now have would turn out to be useless.