Financing Health Care: There is a Better Way

Walter M. Cadette

Economics Policy Note Archive from Levy Economics Institute

Abstract: The problem is that the payers of health care-government and employers alike-are in open revolt against costs they never anticipated would become so high. Payers succeeded for a time in limiting increases to rises in the general price level. But it is one thing to remedy the most glaring inefficiencies in the system-to pick, as it were, the low-hanging fruit-and quite another to maintain quality when all of that has been harvested.

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