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The main problem in the healthcarecoverage is underinsurance (Healy, 2006).Numerous surveys show that the lawscoverage expansions and protections havereduced the number of uninsured adultsby 17M people.But Congress intended the Affordable Care Act to do morethan expand access to insurance.The share of adults who were underinsured climbed over timein each coverage group (Health Care Education Network.,2005).Uncertainty about the health status of enrollees could alsomake insurers cautious about offering plans in a reformedindividual market (Anfilogoff, 2003).Risk selection is a related concern, which occurs wheninsurers have an incentive to avoid enrolling people who arein worse health.Also at risk are insurers who cover patients who requirecostly medical care (Healy, 2006).Risk selection has the potential to make the market lessefficient.This is so because insurers may compete on the basis ofattracting healthier people to enroll.Uncertainty and its effects on commerce are oftenstudied in the context of decisions to expand.These decisions naturally affect the firm's profits(Healy, 2006).The link between uncertainty and profit was further refined byintroducing the concept of risk.Risk and uncertainty appear to be the same thing, but toeconomists there is a subtle distinction (Anfilogoff, 2003).Greater uncertainty has a negative impact ongrowth of employment. The effects are primarily felt ...


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