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Balancing the Goals of Health Care Provision

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  • Martin Feldstein

Abstract

A desirable system for providing and financing health care would achieve three goals: (1) preventing the deprivation of care because of a patient's inability to pay; (2) avoiding wasteful spending; and (3) allowing care to reflect the different tastes of individual patients. Although it is not possible to realize fully all three of these goals, they can condition and inform the design of a good system for financing health care. This paper discusses the application of these goals in more detail and use them to consider a reform of the system of Health Savings Accounts that was enacted as part of the 2003 Medicare legislation and, separately, the challenge posed by the very expensive treatments for rare diseases that are becoming more common.

Suggested Citation

  • Martin Feldstein, 2006. "Balancing the Goals of Health Care Provision," NBER Working Papers 12279, National Bureau of Economic Research, Inc.
    • Handle: RePEc:nbr:nberwo:12279
    Note: EH PE
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    Cited by:

    1. He, Huajing & Nolen, Patrick J., 2019. "The effect of health insurance reform: Evidence from China," China Economic Review, Elsevier, vol. 53(C), pages 168-179.
    2. Waeger, Patricia, 2007. "Trade in health services: an analytical framework," Kiel Advanced Studies Working Papers 441, Kiel Institute for the World Economy (IfW Kiel).
    3. Kowalski, Amanda E., 2015. "Estimating the tradeoff between risk protection and moral hazard with a nonlinear budget set model of health insurance," International Journal of Industrial Organization, Elsevier, vol. 43(C), pages 122-135.
    4. Sahoo, Amit Kumar & Madheswaran, S., 2014. "Out of pocket (OOP) financial risk protection: The role of health insurence," Working Papers 330, Institute for Social and Economic Change, Bangalore.
    5. M. Kate Bundorf, 2016. "Consumer-Directed Health Plans: A Review Of The Evidence," Journal of Risk & Insurance, The American Risk and Insurance Association, vol. 83(1), pages 9-41, January.
    6. Christelle Grobler & Ian C. Stuart, 2007. "Health Care Provider Choice," South African Journal of Economics, Economic Society of South Africa, vol. 75(2), pages 327-350, June.
    7. Jeremiah Hurley & G. Emmanuel Guindon & Vicki Rynard & Steve Morgan, 2008. "Publicly funded medical savings accounts: expenditure and distributional impacts in Ontario, Canada," Health Economics, John Wiley & Sons, Ltd., vol. 17(10), pages 1129-1151, October.
    8. Matthew Herland & Richard A. Bauder & Taghi M. Khoshgoftaar, 2020. "Approaches for identifying U.S. medicare fraud in provider claims data," Health Care Management Science, Springer, vol. 23(1), pages 2-19, March.

    More about this item

    JEL classification:

    • I1 - Health, Education, and Welfare - - Health
    • H2 - Public Economics - - Taxation, Subsidies, and Revenue

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