Medical savings accounts.
Jim Wooten informs his readership of how the prescription drug bill, recently passed by Congress, has one interesting, new, but little-remarked upon provision, health savings accounts. (*) Like IRAs, they are tax-free savings accounts that allow Americans under 65 to actually save dollars for their own health care, and then actually retain control over their own savings. These accounts should allow consumers to make better health care decisions, and enjoy more freedom of choice in the health market.
To put on my amateur economist’s hat, they should increase the elasticity of demand for many medical services, and therefore just might put a small dent in ruinous medical cost inflation.
Real liberals should approve, and I say bravo.