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A Political Economy Model of Health Insurance Policy

Alena Kimakova ()

Atlantic Economic Journal, 2010, vol. 38, issue 1, 23-36

Abstract: This paper aims to explain the divergent path of U.S. health policy from other high-income countries. The paper develops a general framework of interest group politics to study how the organization of industry can shape health insurance coverage and greater public involvement in health insurance. Large firms face a higher degree of unionization and provide more health coverage for employees than small firms. Consequently, large firms favor the adoption of a policy of universal health care coverage as a means of divesting health care costs to the public sector. Public aversion to higher taxation counterbalances this effect. Copyright International Atlantic Economic Society 2010

Keywords: Health insurance policy; Health care coverage; Political economy; P16; I18; H51 (search for similar items in EconPapers)
Date: 2010
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DOI: 10.1007/s11293-009-9200-z

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