In this paper we develop a stochastic dynamic general equilibrium overlapping generations (OLG) model with health as a durable good to study the life-cycle behaviors of health care spending and financing. We show that a calibrated version of our generalized Grossman model is able to match the...

In this paper we quantitatively explore the overall welfare bene ts of social health insur-ance which is embedded in the US mixed health insurance system. We compare the currentUS mixed insurance system to three alternative systems: (i) a no health insurance system,(ii) a purely private health...