A Note on Financing Health-Care Reform: Some Simple Arguments Concerning Marginal Tax Burden
In Germany economic experts and politicians are proposing a fundamental reform of the health-care system by which the current wage-dependent contributions are replaced by flat-rate insurance premiums. One major reason behind this proposal is the wish to avoid the distortion effects caused by the present form of levying the fees, which works like a wage income tax. The purpose of this note is to show by some simple axiomatics that these hopes may be exaggerated. As social compensation is required, the reform as such does not automatically reduce the distortion effects of the current system. Welfare gains will only be generated by some additional features of the proposed system change, which are briefly discussed at the end of the paper.
To our knowledge, this item is not available for
download. To find whether it is available, there are three
1. Check below under "Related research" whether another version of this item is available online.
2. Check on the provider's web page whether it is in fact available.
3. Perform a search for a similarly titled item that would be available.
Volume (Year): 61 (2005)
Issue (Month): 3 (November)
|Contact details of provider:|| Web page: http://www.mohr.de/fa|
|Order Information:|| Postal: Mohr Siebeck GmbH & Co. KG, P.O.Box 2040, 72010 Tübingen, Germany|
When requesting a correction, please mention this item's handle: RePEc:mhr:finarc:urn:sici:0015-2218(200511)61:3_438:anofhr_2.0.tx_2-v. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Thomas Wolpert)
If references are entirely missing, you can add them using this form.