Abstract

Medical Savings Accounts (MSAs) are usually promoted as a demand-management tool that gives consumers incentives to economize on medical expenses. "Making Health Spending Work" takes the concept one step further and shows how MSAs can be used to design a publicly funded system that incorporates market dynamics. MSAs can bring efficiency-enhancing incentives to the supply side, creating consumer choice and empowerment with a public system that meets Medicare's key principles.

Over the last few months, Canada's political leaders have begun to break away from the reform-stalling tactics of special interest groups - which profit mightily from the current system - and to examine sensible reforms that could benefit all Canadians. By breaking free of old dogmas, Canada can turn myth into reality: we can have the best medicare system in the world, one that expands choice and creates efficiency-enhancing dynamics.

 

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    HealthcarePapers, 2(4) March 2002

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