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Legal Commentary

: Prawfs

Health care magnet?

By Dan Markel, Ethan Leib, Rick Garnett, Matt Bodie, Paul Horwitz , Steve Vladeck, and Orly Lobel

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Last January, I published a piece in WI Interest, the journal of the Wisconsin Public Policy Research Institute, arguing that the drafters of a plan called Healthy Wisconsin ? or any similar program purporting to enact a universal entitlement to health care in a single state ? could not constitutionally impose a residency requirement, creating the risk of health care migration and the associated problems of adverse selection. I did not seek to explore whether such migration would occur or who would migrate. I speculated, in fact, that the migrants would not be poor people, but those who are older or high risk.

Healthy Wisconsin is a plan that would fund universal health care for all state residents by imposing a payroll tax on all state employers. There is disagreement about the amount of the tax but the most frequently mentioned numbers seem to range between 16 and 18%.

WPRI has now published a study evaluating the probability of such migration. I have not yet carefully examined it, but I continue to believe that such migration (and the Supreme Court precedent that protects it) is a serious obstacle to state efforts to enact some form of universal health care and, for that matter, a variety of other initiatives that states may undertake in their once honored roles as ?laboratories for democracy.?

Cross posted at Marquette University Law School Faculty Blog and Shark and Shepherd.

Full post as published by Prawfs on January 27, 2009 (boomark / email).

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