2022 JUN 08 (NewsRx) — By a News Reporter-Staff News Editor at Health Policy and Law Daily — New research on Managed Care is the subject of a report. According to news reporting out of Canberra, Australia, by NewsRx editors, research stated, “We quantitatively explore the economic effects of expanding the public and private components of the US health insurance system. Our analysis uses an overlapping generations model that comprises health risk, labor market risk, and key features of the US health insurance system such as private individual health insurance (IHI), employer sponsored group health insurance (GHI), means-tested public health insurance for low income individuals (Medicaid), and public health insurance for retired individuals (Medicare).”
Funders for this research include School of Emerging Technologies (SET) at Towson University, Australian Research Council.
Our news journalists obtained a quote from the research from Australian National University, “Our simulations show that expanding Medicare to all workers-aka universal public health insurance (UPHI)-improves aggregate welfare if the coinsurance rate of UPHI is set to a higher level than the current Medicare coinsurance rate. There exists an optimal coinsurance rate that balances the incentive and insurance trade-off of the UPHI system and maximizes welfare outcomes. Allowing private health insurance to coexist with UPHI plans, lowers the overall fiscal cost of UPHI and results in larger welfare gains. Tax financing instruments matter for welfare outcomes. Using a consumption tax to finance the expansion of public health insurance leads to fewer distortions and improved welfare outcomes compared to income or payroll taxes.”
According to the news editors, the research concluded: “If, under the current US system, the government mandates GHI offers to become available to all workers, welfare gains can also be achieved.”
This research has been peer-reviewed.
For more information on this research see: Social Health Insurance: a Quantitative Exploration. Journal of Economic Dynamics and Control, 2022;139. Journal of Economic Dynamics and Control can be contacted at: Elsevier, Radarweg 29, 1043 Nx Amsterdam, Netherlands. (Elsevier – www.elsevier.com; Journal of Economic Dynamics and Control – http://www.journals.elsevier.com/journal-of-economic-dynamics-and-control/)
Our news journalists report that additional information may be obtained by contacting Chung Tran, Australian National University, Research School of Economics, Canberra, Act, Australia.
The direct object identifier (DOI) for that additional information is: https://doi.org/10.1016/j.jedc.2022.104374. This DOI is a link to an online electronic document that is either free or for purchase, and can be your direct source for a journal article and its citation.
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