David Finkelstein is a managing director in the mergers and acquisitions group at Citi. He is global head of the consumer and retail M&A franchise and helps lead the consumer products and retail coverage effort. Between 111 and 114 Trajan built the Via Traiana Nova, running from the Syrian border to the Red Sea through Petra. In the shadow of the Pax Romana, this route revived trade between Arabia, Syria, and Mediterranean harbors. In 125 AD, one of Emperor Hadrian’s administrators left marks[dubious – discuss] in Petra, pointed out by documents found at the Dead Sea.
- David Finkelstein is a managing director in the mergers and acquisitions group at Citi.
- However, in the presence of nonlinear contracts, applying such single elasticity estimates is challenging without some guidance as to whether and how one can map a nonlinear insurance coverage into a single price.
- Rather, we select only a few specific papers—drawing (grossly) disproportionately on our own work—to illustrate the relationship and complementarities between different empirical approaches used to study the same topic.
- In 2015, Medicare Part D covered about 42 million individuals and generated approximately $77 billion in budgetary outlays (Congressional Budget Office 2015).
- The dynamic model is more computationally challenging and time consuming to implement; it also has (despite our best efforts) more of a “black box” relationship between the underlying data objects and the economic objects of interest.
We therefore also developed a dynamic model of drug use in which a (potentially) forward looking individual facing uncertain future health shocks makes drug purchase decisions (Einav et al. 2015). We modeled weekly drug spending decisions, where each week there is some chance of a health event that could be treated by a prescription; if it occurs, the individual must decide whether or not to fill the prescription that week. The individual is covered by a nonlinear prescription drug insurance contract over 52 weeks. A coverage contract is given by a function, similar to the one depicted in the top panel of Figure 4, that specifies the out-of-pocket amount the individual would be charged for a prescription drug with a given list price given the cumulative out-of-pocket spending up until that point in the coverage period.
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On Feb. 21, will provide an overview of the department’s involvement in the Biden administration’s efforts to undermine Russia and its plans for continuing to do so in the year ahead, according to a preview shared with NatSec Daily. He’ll make the case that the U.S. hampered Russia’s invasion plans, complicated its future economic prospects and can now further restrict Moscow’s access to assets https://bookkeeping-reviews.com/michael-finkelstein-author-at-the-global-treasurer/ in the 12 months ahead. Petra declined rapidly under Roman rule, in large part from the revision of sea-based trade routes. In 363, an earthquake destroyed many buildings and crippled the vital water management system. The old city of Petra was the capital of the Byzantine province of Palaestina III and many churches from the Byzantine period were excavated in and around Petra.
Medicare Part D annual plan choices are typically made during the open enrollment period in November and December, and provide coverage from January to December of the following year. However, when individuals become newly eligible for Part D at age 65, they can enroll in a plan the month they turn 65; the plan’s cost-sharing features reset on January 1, regardless of when in the year the individual enrolled. Variation in birth month thus generates variation in contract duration, and hence potentially in expected end-of-year price among individuals in a given plan in their first year.
Michael Finkelstein Found 242 people in New York, Florida and 34 other states
In the context of health insurance, the term “moral hazard” is widely used (and slightly abused) to capture the notion that insurance coverage, by lowering the marginal cost of care to the individual (often referred to as the out-of-pocket price of care), may increase healthcare use (Pauly 1968). In the United States—the context of all the work we cover in this paper—a typical health insurance contract is annual and concave. It is designed so that the out-of-pocket price declines during the year, as the cumulative use of healthcare increases.
- The agreement by Syrian leader BASHAR ASSAD, which opens crossings at Bab Al-Salam and Al Raée for an initial three-month period, was welcomed by U.N.
- Yet, many—perhaps most—questions of interest require us to make predictions out of sample, for which economic models that rely on deeper economic primitives are important.
- In the shadow of the Pax Romana, this route revived trade between Arabia, Syria, and Mediterranean harbors.
- This came when the Edomites rebelled after the death of King Solomon in 928 BC when Israel split into two kingdoms for Israel to be in the north and Judah in the south.
- In order to move beyond what the experiment directly delivers—estimates of specific plans’ “treatment effects”—more assumptions regarding an economic model of behavior are needed.
- A declining out-of-pocket price schedule (see, e.g., Figure 1) is a natural way to optimally trade off the goal of combating moral hazard through higher consumer cost-sharing with the goal of providing risk protection through lower consumer-cost sharing.
F-35 sensor fusion provides vast amounts of information to accelerate critical decisions and win the fight. — ELINA NOOR started as a senior fellow in the Carnegie Endowment for International Peace Asia Program, where she will focus on developments in Southeast Asia. She previously was director of political-security affairs and deputy director of the D.C. Specifically, the lawmakers cited the manual’s approach to the presumption of civilian status; determining whether civilians directly participated in hostilities; use of human shields; and application of international human rights law. Energy, trade, infrastructure, trilateral relations and regional security will be the main subjects for the legislators.
Is There Moral Hazard in Health Insurance?
The static model imposes that any response to the donut hole is limited to people around the donut hole. We now know what moral hazard in health insurance is (or at least what we have all come to call it) and why it could be important for affecting the optimal design of health insurance contracts. First-year economics teaches us that demand curves tend to slope down, that when we make something cheaper, people tend to buy more of it. Naturally this basic point applies more broadly than our narrow context of moral hazard effects of health insurance. One closely related, and understudied application is to the behavioral response of healthcare providers to the financial incentives embodied in healthcare contracts. As we noted earlier, healthcare spending is extremely right skewed—about 5% of the population accounts for about 50% of healthcare expenditures (Cohen and Yu 2012).
- This Medicaid program provided comprehensive health insurance coverage with zero consumer cost-sharing.
- In that sense, the use of the term “moral hazard” is a bit of an abuse of the “hidden action” origin of the term.
- Once again, the results from the randomized evaluation clearly point to the existence of a moral hazard effect.
- In these plans, by contrast, the probability of an initial claim does not appear to vary systematically with the enrollment month.
- Sufficient statistics, in other words, are sufficient conditional on the model (or set of models).
- In recent years different conservation campaigns and projects were established at the cultural heritage site of Petra. The main works first focussed on the entrance situation of the Siq to protect tourists and to facilitate access.
Since the Oregon experiment did not independently vary the price of primary care and emergency department care, it is not designed to address whether the emergency department and primary care are substitutes or complements. But the results indicate that, on net, Medicaid increases emergency department use, suggesting that any substitution that may exist is not large enough to offset the direct effect of making the emergency department free. The top panel of Figure 4 shows the government-defined standard benefit design in 2008. According to this contract, the https://bookkeeping-reviews.com/ individual initially pays for all expenses out of pocket, until she has spent $275 (in cumulative drug spending within the covered year), at which point she pays only 25% of subsequent drug spending until her total drug spending reaches $2,510. At this point the individual enters the famed “donut hole”, within which she must once again pay for all expenses out of pocket until total drug spending reaches $5,726, the amount at which catastrophic coverage sets in and the marginal out-of-pocket price of additional spending drops substantially, to about 7%.
Forecasting Healthcare Spending under Counterfactual Contracts
IEX only accepts funding from so called “buy-side” firms – institutional investors and fund companies, as well as individuals and private equity. The company said its latest round of financing was led by boutique venture capital firm Spark Capital, and included Bain Capital Ventures, MassMutual Ventures, which is the venture capital arm of Massachusetts Mutual Life Insurance Company, and investment manager Franklin Resources. The Jewish historian Josephus (ca. 37–100 AD) writes that the region was inhabited by the Midianites during the time of Moses, and that they were ruled by five kings, one of whom was Rekem. All-source, public repository of congressional hearing transcripts, government agency documents, digital forensics, social media analysis, public opinion surveys, empirical research, more. Initial prototyping will begin with the C-17, C-130 and KC-135 cargo planes and tankers.
Both can be applied to the large, and rich administrative data sets that researchers are increasingly accessing. By combining these approaches—within and across papers—our production possibility frontier will expand even further. More generally, the bunching literature following Saez (2010) is one specific application of the influential “sufficient statistics” literature popularized by Chetty (2009)—which attempts to use simple models to directly and transparently map reduced form parameters into economic primitives.