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Policy Memo

Estimating the 'Hidden Tax' on Insured Californians Due to the Care Needed and Received by the Uninsured

May 21, 2007 |

The report released today by the Hoover Institution confirms that insured families across California pay a "hidden tax" to provide uncompensated health care to the uninsured. The existence of this "hidden tax" is no longer in dispute; what's under debate is its magnitude, which is hard to measure precisely because it is "hidden."

This memo describes the range of estimates that various experts have made, highlights some of the reasons for differing judgments, and then lets the reader draw his or her own conclusions about the reasonable range of hidden tax estimates.

For the complete Policy Memo from New America, please see the attached PDF file below. The Hoover report can be downloaded from that group's web site.