Public Management of Health Care Reform

In an evolving plan for comprehensive health-care reform, the Clinton Administration proposed an alternative "managed competition" approach. Although managed competition has some market-oriented features, it would greatly increase the role of government in the healthcare system and limit the range of health insurance options available. The concept of managed competition is built around the "accountable health partnership," an organization similar to an HMO that would provide both health benefits and consumer information. Each accountable health partnership would be registered with a national health board that would define "uniform effective health benefits" that each partnership would be required to provide. All insurers, both private and public, would be required to offer the same basic benefit plan.

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