The idea behind cost-sharing in healthcare goes something like this: If the patient is responsible for some part of the cost of their care, they’ll be more judicious in their choices of treatment, and healthcare spending will decline. While this does work in some ways, it can have unintended consequences. When people need a prescription drug, and that drug costs more than they’re willing or able to pay, they may reduce their dose or stop taking their medicine all together.
This video was adapted from a column Aaron wrote for the Upshot. Links to sources can be found there.