Private Health Insurance and Public Expenditures in Jamaica

Published in: Journal of Econometrics, v. 77, no. 1, Mar. 1997, p. 237-257

Posted on RAND.org on December 31, 1996

by Paul Gertler, Roland Sturm

Read More

Access further information on this document at www.elsevier.com

This article was published outside of RAND. The full text of the article can be found at the link above.

Many governments who have large public health care systems are looking for means to reduce the public's financial burden. One approach is to increase reliance on private health care delivery through expanded private insurance coverage. Using data from Jamaica, the authors estimate models of the demand for medical care. They find that insurance does induce individuals to opt out of the public sector in favor of the higher-quality private sector, thereby reducing total public expenditures on health care. Moreover, since insurance is concentrated among the upper income groups, expanded insurance coverage better targets public expenditures to the poor.

This report is part of the RAND Corporation external publication series. Many RAND studies are published in peer-reviewed scholarly journals, as chapters in commercial books, or as documents published by other organizations.

The RAND Corporation is a nonprofit institution that helps improve policy and decisionmaking through research and analysis. RAND's publications do not necessarily reflect the opinions of its research clients and sponsors.