Government mandated insurance, Macroeconomics

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Government mandated insurance

Problem:

Government Mandated Insurance

Assume that in response to learning which some sick individuals were denied health insurance, the government mandates which that insurance company should offer insurance to everyone at unregulated rates.

(a) Why may this not aid diminish the number of uninsured? Discuss.

(b) An alternative strategy for diminishing the number of uninsured may be to mandate which insurance companies charge individuals with health problems no more than individuals devoid of health problems. Would this aid diminish the number of uninsured? Discuss.

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Macroeconomics: Government mandated insurance

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