When the Medicare prescription drug benefit was under legislative consideration, some suggested that the program should require individuals to decide about whether to accept the benefit when they enter the Medicare system, and to stick to that decision permanently. That is, individuals either accept the prescription benefit and begin paying premiums as soon as they become eligible, or they can never enter the program. Explain the efficiency rationale behind this proposal.
Answer to relevant QuestionsMedicare recipients can purchase supplemental private insurance (known as Medigap insurance ) to fill the gap in coverage left by Medicare. This gap includes copayments, deductibles, and prescription drug expenses not ...In 1990, the ratio of people age 65 or older to people ages 20 to 64 in the United Kingdom was 26.7 percent. In the year 2050, this ratio is expected to be 45.8 percent. Assuming a payas you go Social Security system, what ...Discuss the following quotation: “The ongoing effort to partially convert Social Security from a payroll tax financing to income tax financing— by further cutting the payroll tax . . . and replacing the funds with ...An economy consists of two individuals, Lynne and Jonathan, whose utility levels are given by U L and U J , respectively. a. Suppose that the social welfare function is W =UL+ UJ True or false: Society is indifferent ...The Section 8 program for housing assistance discussed in this chapter in effect shifts out the demand curve for low income housing in a given community. Draw supply and demand diagrams that are consistent with the following ...
Post your question