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The Changing Role of Government in Financing Health Care: An International Perspective

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  • Mark Stabile

    (University of Toronto)

  • Sarah Thomson

    (LSE - London School of Economics and Political Science)

Abstract

This paper explores the changing role of government involvement in health care financing policy outside the United States. It provides a review of the economics literature in this area to understand the implications of recent policy changes on efficiency, costs and quality. Our review reveals that there has been some convergence in policies adopted across countries to improve financing incentives and encourage efficient use of health services. In the case of risk pooling, all countries with competing pools experience similar difficulties with selection and are adopting more sophisticated forms of risk adjustment. In the case of hospital competition, the key drivers of success appear to be what is competed on and measurable rather than whether the system is public or private. In the case of both the success of performance-related pay for providers and issues resulting from wait times, evidence differs both within and across jurisdictions. However, the evidence does suggest that some governments have effectively reduced wait times when they have chosen explicitly to focus on achieving this goal. Many countries are exploring new ways of generating revenues for health care to enable them to cope with significant cost growth. However, there is little evidence to suggest that collection mechanisms alone are effective in managing the cost or quality of care.

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  • Mark Stabile & Sarah Thomson, 2014. "The Changing Role of Government in Financing Health Care: An International Perspective," Working Papers hal-03460310, HAL.
  • Handle: RePEc:hal:wpaper:hal-03460310
    Note: View the original document on HAL open archive server: https://hal-sciencespo.archives-ouvertes.fr/hal-03460310
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    8. Anell, Anders & Dackehag, Margareta & Dietrichson, Jens & Ellegård, Lina Maria & Kjellsson, Gustav, 2022. "Better Off by Risk Adjustment? Socioeconomic Disparities in Care Utilization in Sweden Following a Payment Reform," Working Papers 2022:15, Lund University, Department of Economics.
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    10. S.N. Yashin & N.I. Yashina & E.V. Poyushcheva & E.S. Malysheva & N.N. Pronchatova-Rubtsova & O.I. Kashina, 2018. "Evaluating the Effectiveness of Public Health Financing Based on Financial and Non-Financial Indicators in Terms of the Knowledge Economy," European Research Studies Journal, European Research Studies Journal, vol. 0(Special 2), pages 112-123.

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