Microeconomics
5th Edition
ISBN: 9781319098780
Author: Paul Krugman, Robin Wells
Publisher: Worth Publishers
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Chapter 18, Problem fWYWL
To determine
What are the special concerns of private health insurance and how have the government acted to address them.
Concept Introduction:
Private health insurance - It refers to insurance by private companies. Under this, each member of a large pool of individuals pays a fixed amount to a private company that agrees to pay most of the medical expenses of the pool’s members.
Government health insurance - Under this the government pays for the medical expenses of individuals covered under insurance. It works through a single-payer system in which the government is the principal payer of medical bills funded through taxes.
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