Managing Behavioral Hazard in Practice: Value-Based Health Insurance

Funded Research Proposal

Value-based health insurance plans have been introduced as an innovative policy to improve health as well as manage health care expenditures – generally through promoting high-value care and reducing low-value care. Standard theory would suggest that the more elastic the demand is for a particular medical service, cost-sharing should be set higher to curb overconsumption due to moral hazard.Read More