Increasing healthcare costs result in greater income inequality: 5 insights

Increasing healthcare costs widen the income gap, based on a Mercatus Center report, according to The Washington Free Beacon.

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Here are five insights:

1. The report found employer-provided healthcare benefits have increased at a higher rate than earnings.

2. Between 1999 and 2006, low-wage employee health insurance increased from 6.2 percent to 12.2 percent, a 97 percent growth. However, wages only increased by 28 percent.

3. The study affirmed increasing healthcare costs hit the working class harder because those costs are “so large relative to the rest of their compensation package.”

4. In 1999, employer costs for healthcare coverage totaled $4,200, compared to $12,600 in 2015.

5. The report recommended encouraging healthcare antitrust laws as well as offering more employer-sponsored coverage options for employees.

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