The Samaritan’s Dilemma and public health insurance
When the government cannot commit to withdraw from providing charity health care, as is the case when it faces the Samaritan's Dilemma, a public health insurance scheme can be Pareto improving. However, the large heterogeneity in the design of such schemes observed around the world begs the question of what characterizes the optimal public health insurance plan. In this paper, we examine the distortions created by three plans, nested in terms of the constraints they place on the individual's...[Show more]
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