Universal coverage, it is argued, implies universally required insurance, to avoid adverse selection into last-resort care implicitly guaranteed. It also entails community rating, such that insurers cannot choose among risks. Individual mandate makes more sense than employer mandate. A system is proposed in which individual can choose among a government Medicare-like plan and private insurance oﬀering equivalent services. Means-tested assistance would help individuals pay premiums.
Tobin, James, "Health Care Reform as Seen by a General Economist" (1994). Cowles Foundation Discussion Papers. 1316.