Abstract

The new law GKV-Modernisierungsgesetz was introduced in 2003 to stabilize the expenditures of the German public health sector in a long-term perspective. In addition, there are two alternative reform proposals, Kopfpauschalen and Burgerversicherung to secure the financing of the public health sector in the long run. Using a generational accounting approach we find out that the GKV-Modernisierungsgesetz is insufficient in creating a sustainable situation. To analyze the reform proposals Kopfpauschalen and Burgerversicherung we give a structured comparison of current political commissions concepts. The analysis shows that also together with these concepts the new law fails sustainability. Furthermore we illustrate the intergenerational distribution effects induced by the discussed new law and the reform concepts.

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