It's become somewhat of a standard refrain that 30% of all health care dollars are wasted. Obviously, eliminating that waste is much less painful than eliminating necessary care. Of course, all waste represents someone's income - which is why we haven't made progress on lowering medical inflation.
By the way, the Mass Medical Society commissioned Amy Lischko of Tufts School of Public Health to develop a thought paper on the root causes of health care inflation. The report is available at this link.