from Part III - Investment in Human Capital, Productivity, and Inequality
Published online by Cambridge University Press: 04 February 2021
The chapter examines the main economic developments in the Israeli healthcare system and focuses on the contribution of the National Health Insurance Law (1995) to changing the configuration of incentives between the health funds and their members, between the health funds and the government, and between the health funds and the hospitals. An analysis is presented of the main trends in national health expenditure in Israel and its financing and the main reasons for its relative stability, in contrast to the upward trend that characterizes most of the OECD countries. The chapter also looks at the changes that have occurred in the private health insurance market (supplementary health insurance and commercial health insurance) and the effect of these changes on the system’s equality and efficiency. It will also discuss the trends in the main inputs into the healthcare system (manpower and hospital beds) relative to the system’s outputs (life expectancy and infant mortality).
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