Wilson (1977) provided the striking result that the government can always Pareto dominate a pooling equilibrium in a private insurance market with adverse selection by providing the pooling policy as a compulsory public policy and allowing individuals to buy supplementary private insurance. I...

This paper analyzes the effects of federally-mandated program changes on state spending and revenues, incorporating and evaluating the predictive value of several common theories of the state decision-making process. Using several sources of exogenous increases in public medical spending, I...

This paper analyzes the effects of federally-mandated program changes on state spending and revenues, incorporating and evaluating the predictive value of several common theories of the state decision-making process. Using several sources of exogenous increases in public medical spending, I...

"We estimate how the marginal utility of consumption varies with health. To do so, we develop a simple model in which the impact of health on the marginal utility of consumption can be estimated from data on permanent income, health, and utility proxies. We estimate the model using the Health...