Background: One provision of the 2010 Patient Protection and…

Bаckgrоund: One prоvisiоn of the 2010 Pаtient Protection аnd Affordable Care Act (commonly known as "Obamacare") required large employers to provide health insurance to full-time employees. For the purposes of this question, assume that employers are required to pay the full cost of the insurance premium. Question: Once the labor market adjusts to this policy, which side—employers or employees—is likely to bear the greater economic burden of the mandate? Explain your reasoning. [Hint: Consider whether this mandate is, in effect, economically equivalent to a payroll tax.]