HS 104b Lecture Notes - Lecture 8: Moral Hazard

• School: Brandeis University
• Department: Heller School for Social Policy and Management
• Course: HS 104b
• Professor: Stuart Altman

Document Summary

Ffs was traditionally used to pay price. When we look at quantity, we look at utilization. Moral hazard people who have insurance are more likely to be risky, or behave in risky behavior. Also, will use more services, since its not coming directly out of pocket. Reasons why prices are higher in the us. Most companies have chosen one or the other. People earn more in healthcare than other countries. Certificate of need laws done by the states. Has to show that new therapy/building. whatever will benefit the community. Insurance companies can set up some gate keeping. State review boards may keep insurance companies from raising prices. *we hardly regulate in the us as compared to other countries. Individuals in the market have more regulation and responsibility. Global budgets, bundle payments (these can get at the problem of fee for service in the market) Premium support sort of like a voucher (give people allocated money to purchase their own services)