This article describes the anatomy of health insurance. It begins by considering the optimal design of health insurance …. The analysis then turns to the operation of health insurance markets. Economists generally favor choice in health … them and encourages plans to provide services efficiently. But choice in health insurance is a mixed blessing because of …

This paper uses data on health insurance choices by employees of Harvard University to examine the effect of … inefficient; we estimate the magnitude of the welfare loss from adverse selection at 2 percent of baseline health spending …

There is a large and persistent association between education and health. In this paper, we review what is known about … this link. We first document the facts about the relationship between education and health. The education 'gradient' is … found for both health behaviors and health status, though the former does not fully explain the latter. The effect of …

Integrating the health services and insurance industries (HMOs) could lower expenditure by reducing either the quantity … traditional plans in two data sets. The nature of these health problems should minimize selection, and OLS and instrumental … treatments and health outcomes differ little; virtually all the difference in spending comes from lower unit prices. Managed care …