What’s Appropriate for National Policy?
None of this is to say managed care programs are not attractive for some people, or that MSAs are the best solution at all times. The question, rather, is what should be the thrust of national policy? Should it be reliance on empowered consumers making informed decisions through market mechanisms? Or should we rely instead on third-party bureaucrats allocating resources according to their preferences? The latter strategy has been tried and has failed. It is well past time to empower the patient. Medical Savings Accounts are a broad term for the notion that much of health care can be paid directly by the consumer, and that government policy should be neutral as to whether such expenses are paid through an insurance mechanism or directly by the patient. To the extent contributions to health insurance premiums are tax-advantaged, so should be contributions to an account dedicated to paying for health care expenses. Once this concept is understood and adopted, consumers will be free to det
