The Public Finance of Healthy Behavior

Robert Rosenman

No 2009-18, Working Papers from School of Economic Sciences, Washington State University

Abstract: Lifestyle can often affect the likelihood an individual will have a future illness. Subsidies often mitigate the consequences of poor lifestyle choices. In this paper we explore tax-subsidy policies that lower the consequences of incurring a non-infectious disease. We find that a funding mechanism consistent with current US policy lowers the investment in healthy lifestyles by both the wealthy, who pay taxes, and the poor, who receive subsidies. We also explore alternative policy interventions such as investing in research to lessen the impact or probability of the disease if an individual gets sick.

Keywords: lifestyle; health; policy; non-infectious diseases (search for similar items in EconPapers)
JEL-codes: H2 H4 I1 (search for similar items in EconPapers)
Pages: 30 pages
Date: 2009-07
New Economics Papers: this item is included in nep-hap and nep-hea
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Citations: View citations in EconPapers (2)

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http://wfaculty.ses.wsu.edu/WorkingPapers/rosenman/wp2009-18_PFHB.pdf First version, 2009 (application/pdf)
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Related works:
Journal Article: The public finance of healthy behavior (2011)
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Persistent link: https://EconPapers.repec.org/RePEc:wsu:wpaper:rosenman-7

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