Basic economic theory suggests that health insurance coverage may cause a reduction in prevention activities, but empirical studies have yet to provide much evidence to support this prediction. However, in other insurance contexts that involve adverse health events, evidence of ex ante moral...

Basic economic theory suggests that health insurance coverage may cause a reduction in prevention activities, but empirical studies have yet to provide much evidence to support this prediction. However, in other insurance contexts that involve adverse health events, evidence of ex ante moral...

Anecdotal evidence suggests that the loss of health insurance results in changes in health behavior that reduces the risk or severity of illness. While ex ante moral hazard is nearly always mentioned as a potential consequence of health insurance, it is equally as often noted that ex ante moral...