A Public Option vs. Co-ops: What's the Difference? - TIME
The version of the Public Plan that's often talked about is one that is tied to Medicare. [Medicare is a government-run healthcare plan for the elderly.] People who see the Public Option as hopeful believe that we need strong cost containment in the healthcare system, and that private industry will never be able to do that for a number of reasons. These people view the Public Plan as a mechanism by which we can both increase healthcare coverage to all Americans and control spending. Typically in their versions of the plan, it ties prices—doctor and hospital fees—to what Medicare pays. Also, it assumes that doctors get strong incentives, if not a mandate, to participate in the Public Plan.
