Full Citation

Title: Medicare for all or medicare for none? A macroeconomic analysis of healthcare reform

Citation Type: Journal Article

Publication Year: 2020

ISBN:

ISSN: 01640704

DOI: 10.1016/j.jmacro.2019.103170

NSFID:

PMCID:

PMID:

Abstract: In this study, I develop a novel general equilibrium life cycle model composed of finitely-lived households that differ according to age, skill level, and access to employer-provided health insurance. After introducing a “Medicare for all” health insurance system to the model, I examine how the welfare response to this policy change will differ according to household characteristics. Then, I compare this system to a completely privatized health insurance system that achieves universal health insurance coverage through the creation of utilization-based premium subsidies. In general, both systems tend to improve the welfare of young households at the expense of old households. However, when using average value-of-life as the primary measure of welfare, Medicare for all either benefits unskilled households at the expense of skilled households, or makes both worse off. In contrast, the privatized system improves the average value-of-life of all household groups, regardless of skill level or prior access to employer-provided health insurance.

Url: https://www.sciencedirect.com/science/article/pii/S0164070419301120

Url: https://linkinghub.elsevier.com/retrieve/pii/S0164070419301120

User Submitted?: No

Authors: Kelly, Mark

Periodical (Full): Journal of Macroeconomics

Issue:

Volume: 63

Pages: 103170

Data Collections: IPUMS Health Surveys - MEPS

Topics: Population Health and Health Systems

Countries: