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A Macroeconomic Analysis of Publicly Funded Health Care

Bednarek, Heather L. and Pecchenino, Rowena A. (2002) A Macroeconomic Analysis of Publicly Funded Health Care. Journal of Public Economic Theory, 4 (2). pp. 243-270. ISSN 1097-3923

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Abstract

In a general equilibrium, overlapping generations framework this paper examines how the tax-benefit system that underlies the US health care system affects the well-being of different age groups, and the lifetime well-being of different socio-economic groups, as well as society as a whole. We find that the optimal set and generosity of publicly funded health care programs is sensitive to the social welfare function and to the prices that various agents in society pay for medical care. Social welfare under the current financing system is also compared to alternative financing mechanisms such as Medical Savings Accounts.

Item Type: Article
Additional Information: Preprint version of original published article. The definitive version is available at www3.interscience.wiley.com (DOI: 10.1111/1467-9779.00097)
Keywords: Macroeconomic Analysis; Publicly Funded Health Care; Social Welfare; Medical Savings Accounts;
Subjects: Social Sciences > Economics, Finance & Accounting
Item ID: 2797
Identification Number: DOI: 10.1111/1467-9779.00097
Depositing User: Prof. Rowena Pecchenino
Date Deposited: 26 Oct 2011 14:39
Journal or Publication Title: Journal of Public Economic Theory
Publisher: Wiley-Blackwell
Refereed: No
URI:

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