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Abstract
Most systems of health care financing in EU member states currently include elements of income redistribution. The paper analyzes the effects of shifting this kind of redistribution to the tax system and argues that this reform could create two types of efficiency gains. On the expenditure side, it would facilitate the adoption of more incentive-compatible insurance contracts, for example through the introduction of copayment schemes. On the revenue side, income redistribution through the general tax system is likely to imply a shadow price of public funds that is lower than if redistribution is carried out through wage-based insurance contributions.
Item Type: | Journal article |
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Faculties: | Economics Economics > Chairs > Seminar for Economic Policy |
Subjects: | 300 Social sciences > 330 Economics |
Language: | English |
Item ID: | 20114 |
Date Deposited: | 15. Apr 2014, 08:56 |
Last Modified: | 29. Apr 2016, 09:17 |
Available Versions of this Item
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Health care reform: Separating insurance from income redistribution. (deposited 15. Apr 2014, 08:57)
- Health Care Reform: Separating Insurance from Income Redistribution. (deposited 15. Apr 2014, 08:56) [Currently Displayed]