1995National Bureau of Economic ResearchOpen access

Does Public Insurance Crowd Out Private Insurance?

David Cutler, Jonathan Gruber

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Abstract

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COJGLG Juqrrceq pA yeqcsiq cxbu2!ou2 2GC!0u Al C0Uf1G2 cqicq cJpjA JJ2 MOLJ(CL2 21!0U A qJCU CJCI1JiG2 tJJC UCt CJJ1JG !U !IJ2flLUC exbu2iou2 ccpou bLc2cut jL21 !00J IJJC CL0M0I1t dne2Iiow 2GCfrOU IA cou2!qcL2 JJOM lu2nLucc cxbmi2Iou2 ou bqAc co,cLdc ccnou bLoAIqc2 pccorwq ou qic cqcq JjJe bbe bLocccq2 2 €oJIoM2 iu 2Gc!ou MG q2Cfl22 pcoLecj[A wc GGC 0€ bnpJc qLobblu C0AGLG 0€ qebeuqcu2 uq coAGLIu OUG2 2C1€ ouA 1 !2 ocLcq U qqriiou €OL IIJO2C MOLJCCL2 LG1fLJ!u WG!L coAQLG IpeLe 2 WoAG 0/ML2 cwbIoAeG2 o bA JqiCL CLOM0flL 9bbL2 O L2G ow cwbIoAGc2 uo t9qu nb COAcLc Mpcu U2C2e ponp qiete wA pe pecu 2OUJG iucLes2G iu c 2JJLc 0€ bLcLu!nw2 cwbJoAcL7 LcdrnLc GAlqGucG flJ9t CLOMqOJIL !2 Cf12G pA cwbJoAcL2 cpoo2!u uoi o pcjp !U2nL9UCG c!piJiA ccouq MG flJAG2jIjG qiC WGCJJmJJ2UJ2 qiLOJ1J3 Mp!Cp CLOMqOnI W!JJt OCCflL 1c juq IJO pecowe bLcuut (Mowcu) OL !II (cpijqLcu) coAcLe bwiiqeq pA eqJcq €OL f1IJJ2flLC bcL2ou2 MO wA 2IIJ nb €OL I4cqtc91q MpGu qicA coAcLG JjJG jccA qeLcuce peceu 1G2G uo e2!Wc2 !2 qic Lc91wGu o qJc couqriousJ !UCLC2C2 JIJ AcqrcJq C0AGLG qnc 0 qiC2G CXb91J2!0U2 MGLG pA I0MC.bLAfc !u2nLucc 0€ qic GI!ipiIUA 0 OqJCL €uijA wcwpGL2 MG G2fUJC qi peih\ccu uq bcLccu 0€ pc GXGIU 0€ CL0M0fU €OL poqi qiG qLcc 0€ OMJJ GJ!!p!1!IA 'uq qic uqiLcc GIJGCf2 lU2flL1JCG cOACL9C uq LJIG LG 0€ flU!U2flLIJCG MG qo 20 !L1 1M0 afGba E!L MG CJCfljG ipe MG cou2JqGL JJG G1C1 0€ JG2G ycqcIq GXbU2I0U?0U C0AGLG pA jcqiclq buAtc LGJCq GXb€U2G2 uq OACL 4(J bGLCGU 0€ MOWGIJ 0 cpq-pc14u G conjq LGCIAG bnp1!c C0AGL9G €OL bLcuucA-bsiciv 2 Lc2fl[e pA JW02 0IJC-J1L 0€ cpJqLeu MGLG c1!Jp1c €0L €JJ bnpiic COAGLG Gqcq coAGLG o bLcuu MOUJC1J uq cpijqeu MqJ JJrpCL !UC0WC2 uq tu €UJ!I!G2 MItp o

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Available abstract

COJGLG Juqrrceq pA yeqcsiq cxbu2!ou2 2GC!0u Al C0Uf1G2 cqicq cJpjA JJ2 MOLJ(CL2 21!0U A qJCU CJCI1JiG2 tJJC UCt CJJ1JG !U !IJ2flLUC exbu2iou2 ccpou bLc2cut jL21 !00J IJJC CL0M0I1t dne2Iiow 2GCfrOU IA cou2!qcL2 JJOM lu2nLucc cxbmi2Iou2 ou bqAc co,cLdc ccnou bLoAIqc2 pccorwq ou qic cqcq JjJe bbe bLocccq2 2 €oJIoM2 iu 2Gc!ou MG q2Cfl22 pcoLecj[A wc GGC 0€ bnpJc qLobblu C0AGLG 0€ qebeuqcu2 uq coAGLIu OUG2 2C1€ ouA 1 !2 ocLcq U qqriiou €OL IIJO2C MOLJCCL2 LG1fLJ!u WG!L coAQLG IpeLe 2 WoAG 0/ML2 cwbIoAeG2 o bA JqiCL CLOM0flL 9bbL2 O L2G ow cwbIoAGc2 uo t9qu nb COAcLc Mpcu U2C2e ponp qiete wA pe pecu 2OUJG iucLes2G iu c 2JJLc 0€ bLcLu!nw2 cwbJoAcL7 LcdrnLc GAlqGucG flJ9t CLOMqOJIL !2 Cf12G pA cwbJoAcL2 cpoo2!u uoi o pcjp !U2nL9UCG c!piJiA ccouq MG flJAG2jIjG qiC WGCJJmJJ2UJ2 qiLOJ1J3 Mp!Cp CLOMqOnI W!JJt OCCflL 1c juq IJO pecowe bLcuut (Mowcu) OL !II (cpijqLcu) coAcLe bwiiqeq pA eqJcq €OL f1IJJ2flLC bcL2ou2 MO wA 2IIJ nb €OL I4cqtc91q MpGu qicA coAcLG JjJG jccA qeLcuce peceu 1G2G uo e2!Wc2 !2 qic Lc91wGu o qJc couqriousJ !UCLC2C2 JIJ AcqrcJq C0AGLG qnc 0 qiC2G CXb91J2!0U2 MGLG pA I0MC.bLAfc !u2nLucc 0€ qic GI!ipiIUA 0 OqJCL €uijA wcwpGL2 MG G2fUJC qi peih\ccu uq bcLccu 0€ pc GXGIU 0€ CL0M0fU €OL poqi qiG qLcc 0€ OMJJ GJ!!p!1!IA 'uq qic uqiLcc GIJGCf2 lU2flL1JCG cOACL9C uq LJIG LG 0€ flU!U2flLIJCG MG qo 20 !L1 1M0 afGba E!L MG CJCfljG ipe MG cou2JqGL JJG G1C1 0€ JG2G ycqcIq GXbU2I0U?0U C0AGLG pA jcqiclq buAtc LGJCq GXb€U2G2 uq OACL 4(J bGLCGU 0€ MOWGIJ 0 cpq-pc14u G conjq LGCIAG bnp1!c C0AGL9G €OL bLcuucA-bsiciv 2 Lc2fl[e pA JW02 0IJC-J1L 0€ cpJqLeu MGLG c1!Jp1c €0L €JJ bnpiic COAGLG Gqcq coAGLG o bLcuu MOUJC1J uq cpijqeu MqJ JJrpCL !UC0WC2 uq tu €UJ!I!G2 MItp o

Key concepts: Medicaid, Private insurance, Public health insurance, Health insurance, Business, Actuarial science, Self-insurance, Crowding out

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