ABSTRACT
Many reform proposals face the dilemma whether to fund coverage by individual mandate, employer-employee mandate, or general revenues. An individual mandate is a law that requires individuals to buy health insurance for themselves, with subsidies for those who cannot afford it. The subsidies usually would be funded out of general revenues. Employer-employee mandates would require taxes on wages for the employee’s share. The employer’s share may also fall on the employee in the form of lower wages. Subsidies out of general revenues would provide for the unemployed.
