USC School of Pharmacy Professor Joel Hay has penned an opinion piece in the December 10, 2012 edition of “The Orange County Register” that reminds us of the many effects that loom should sequestration occur, providing a remedy with which most economists can agree.
“Health economists of nearly every political stripe can agree that there is a much simpler way to address the health containment problem,” Hay writes. “Each year, the federal government gives away $250 billion in tax exemptions for employer healthcare insurance premiums. This is bigger than the amount of money that is at stake on the fiscal cliff.”
Hay explains that these federal giveaways greatly favor the wealthy as they deduct more for health insurance and by removing or reducing the exemption we would solve the entire fiscal cliff problem without raising taxes or changing other exemptions. In the piece, Hay explains how this one change would offer additional savings on overall health care spending by both the government and individuals.
At USC, Hay is also an expert at the Leonard D. Schaeffer Center for Health Policy and Economics.
To read the complete article, http://www.ocregister.com/opinion/health-380238-care-tax.html.
To read his second article, please click HERE.