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A public good is niether rivalrous nor excludable which means that the good is always available and others cannot be stopped from using it. This resource is something that everyone uses and pays for through taxes. Examples of a public good, are national defense, clean air, the highway, and for the purpose of this paper, healthcare. Because individuals want what is best for themselves,many problems may arise when using these goods. One of the many concerns is the issue of free riders, when individuals take advantage of others who pay for the public good and do not contribute in providing for it. A common example of free riding is those who do not help subsidize national security, yet recieve the same benefits. This same logic can be applied to healthcare.
According to the article by Sutherland Daily, healthcare in this country has a free rider problem. In 1986, Congress passed the Emergency Medical Treatment and Labor Act which ensured patients would be treated regardless of any limiting facturs such as no citizenship,uuninsured, and expense. Once a solution, the policy has become another oppurtunity for free riders. Uninsured people do not have the incentive to purchase health coverage because they know healtcare will be provided by law in the emergency room. This is a very coslty method that has to fall in the hands of others. The authors first begin with the concern that healthcare is facing a free rider problem but eventually contradict what there saying by blaming the rising cost of healthcare is not the fault of free riders at all but other underlying factors. Although these people are taking advantage of the system so there is a problem.
Consequently, the abuse of the policy has let taxpayers liable for others, accumula...

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...icpal intends. Agency loss is inevitable and will always happen regardless of how much it is contained. The agents who are given the power can take advantage of the people and raise their prices especially since insurance is in high demand. The principal may not have the knowledge of this increase in price, hidden information.
Lastly, another possible solution to end the free rider problem is by making healthcare excludable, which makes it a club good. The authority will lie in the hands of the consumer if they want to purchase a healthcare. If the consumer chooses not to participate they will not be provided with healthcare at all. Although, this solution is unethical it is an option that can be plausible in a cruel world. The next upcoming months will prove if the Obamacare Act will work out for all parties; the principals, the agents, and the people of America.

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