On health insurance I've seen libertarians propose the equivalent of pre-existing condition insurance for years. It never survives in the marketplace. Even simpler products like Long Term Care Insurance with fixed daily dollar payments have been disasters in the marketplace. Reviewing some of these policy pools can be mind boggling the loss rates and death spirals.
The best system is something like Singapore, which is universal with a high degree of forced savings, little first dollar coverage, and public expenditure highly regulated. It functions more like a mixture of government catastrophic coverage with a mandatory savings account for a rainy day.
You end up with few unpaid medical bills since everyone has coverage for big expenses and savings for smaller expenses. Wanting to keep the savings account in your name toped up provides spending discipline at the individual level. The problem of anti-selection for pre-existing conditions is solved by the universality.
Of course for this to work you can't have a huge underclass of people too unproductive to fund themselves in aggregate and prone to self imposed bad health decisions.
It seems like there is a lot of emphasis on government policy and redistribution in your class. Since we are fleeing from free markets at speeds incalculable, I guess it helps the young socialists of the future to maneuver the not-so-brave new world we shall bequeath.
Why not only audio recordings, easy to do and upload?
Please do!
great concept for a class but you really need to record the lectures too for a large audience.
+1
Good lesson on COVID.
On health insurance I've seen libertarians propose the equivalent of pre-existing condition insurance for years. It never survives in the marketplace. Even simpler products like Long Term Care Insurance with fixed daily dollar payments have been disasters in the marketplace. Reviewing some of these policy pools can be mind boggling the loss rates and death spirals.
The best system is something like Singapore, which is universal with a high degree of forced savings, little first dollar coverage, and public expenditure highly regulated. It functions more like a mixture of government catastrophic coverage with a mandatory savings account for a rainy day.
You end up with few unpaid medical bills since everyone has coverage for big expenses and savings for smaller expenses. Wanting to keep the savings account in your name toped up provides spending discipline at the individual level. The problem of anti-selection for pre-existing conditions is solved by the universality.
Of course for this to work you can't have a huge underclass of people too unproductive to fund themselves in aggregate and prone to self imposed bad health decisions.
Unfortunately, the scale usually tilts the other way with public policies.
Please do!
It seems like there is a lot of emphasis on government policy and redistribution in your class. Since we are fleeing from free markets at speeds incalculable, I guess it helps the young socialists of the future to maneuver the not-so-brave new world we shall bequeath.
Is there nothing regarding "Public Choice Theory" on your "Economic Problems and Public Policies"?
How come?