Would be better without government intervention in medicine.
You don't get that kind of standard of living through Libertarianism. Of course, this is not what Libertarians desire in a society, so my point is mute.
We've never experienced a real libertarian-capitalist society, so there's no room for your argument.
The same argument holds for your argument. How do you know that healthcare would be better in a libertarian-capitalist society if there is no modern example of a libertarian-capitalist society?
Because we used to have a time where medicine and health care was a good deal less regulated-before medicare and medicaid. Those were the days that health care was of better quality and cheaper. Granted a 'whole picture' scenario doesn't make a point, but we can pick generalities to say that adding government to the equation makes services more costly and less efficient.