Putting Health in Local Hands

Australia’s unique geography and system of governance has, over time, led to a health care system that is more fragmented unfair and wasteful than it might be. Shifting health care governance and funding to regional agencies that are more responsive to the needs of communities would improve both the fairness and effectiveness of Australian health care. At present, access to health care services in Australia often reflects the inverse care law: ‘those who need the … more

Medicare Select – Entrenching Inequality in Health Care?

In its Final Report, the National Health and Hospital Reform Commission made a number of recommendations for change to Australia’s health policies and programs.  Some of these are very worthwhile but one of its main proposals, ‘Medicare Select’ is decidedly less so. This proposal would involve all Australians becoming enrolled in a government-funded health care plan, but with the option of moving to an individual (private) ‘plan’. Government funding would be directed to the private … more

 

More than one health insurer is too many: the case for a single insurer

Informed debate on health funding is impeded by misunderstandings and misrepresentations of the views and analysis of reformers. This paper presents the case for a single national health insurer to replace the 38 private insurers now operating in the market. It does not claim private insurance is mis-managed, or that it is exploiting consumers. In fact, private insurance is placed in a difficult situation by government policy which seeks to achieve community rating, to  restrain … more

Freeing public policy from the fiscal straightjacket

When Australians are asked whether they would prefer tax cuts or more spending on health and education, the message is clear: invest in services. When economists and business people are asked about the challenges facing our economy, the answer is consistent: lack of investment in skills and infrastructure. But in last week’s debate, Peter Costello and Wayne Swan shared a different set of priorities: what voters want and what the economy needs is lower tax … more

 

Howard’s reforms and Australian values

  Introduction     When economic liberal reform is well designed it can deliver higher employment rates and living standards and a more resilient economy. It also has the potential to widen the community’s social options (e.g. work/leisure and public goods). However, some forms of economic liberal reform can (for a time) hurt poorer households. This is true of John Howard’s 2005/6 workplace and welfare reforms. Its supporters claim that it is the ONLY way … more

Debt Freedom Day Report 2007

February 25th was Debt Freedom Day for 2007: the day Australia had earned enough income to fund the annual interest on its loans. The good news is that the day has finally arrived. The bad news is that it has been so long in coming. Except for a brief fall in 2000, when official interest rates were cut as the GST was introduced, the date of debt freedom has been steadily receding since 1997. Then, … more

REAL WORLD ECONOMICS: Competition and Cohesion

Introduction Economic policy is likely to remain the central policy concern, notwithstanding terrorism, climate change and family values. Some commentators, who are already comfortably off, may argue that further economic growth will not result in a commensurate increase in well-being, but even they must acknowledge that it is difficult to maintain well-being and a fair distribution of incomes in a depressed economy. Judging by their behaviour, most people want further material gains, while the capacity … more