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Caroline McDermott
on Dec 11, 2024

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Which of the following would increase the incentive of consumers to economize and of producers to provide medical services at economical prices?

A) Substitution of catastrophic health insurance plans for low deductible, low co-payment plans.
B) More reliance on medical savings accounts rather than insurance.
C) Equalization of tax treatment between out-of-pocket medical expenses and employer-provided health insurance.
D) All of the above.

Catastrophic Health Insurance

A type of health insurance designed to provide coverage for extremely severe or unforeseen medical events, often with high deductibles and lower premiums.

Medical Savings Accounts

Special savings accounts for medical expenses that provide tax advantages for individuals.

Tax Treatment

Tax treatment describes the specific ways in which particular financial transactions or investments are taxed, including deductions, exemptions, and rates applied.

  • Identify the impact of third-party coverage on healthcare spending and the tactics to manage healthcare expenses.
  • Evaluate the influence of medical savings plans and additional cost-sharing approaches on the actions of consumers and the cost of healthcare.
  • Evaluate the capability of alterations in healthcare delivery and insurance sectors to enhance efficiency and manage expenses.
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Daniel CornejoDec 18, 2024
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