[dirtboy]

The Bureau of Labor Statistics reports that health-care costs rose 7.5 percent in 2004 ... BLS also reports that employers’ costs for health insurance per employee per hour worked ... from March 2004 to December 2004, it rose only 3 percent.

So, in simplistic terms, employers passed more of the cost increase on to employees.

[Dr. Free Market]

"So, in simplistic terms, employers passed more of the cost increase on to employees."

Right! Which caused a slowing in the rate of increase as predicted by the theory.

[ColoCdn]

And I suppose the fact that there are a lot less employees that have health care benefits due to the outsourcing orgy probably doesn't factor in to this author's analyses either.

[speekinout]

So, in simplistic terms, employers passed more of the cost increase on to employees.

Not so. What the employees got was more control over how their medical care money would be spent. Many people would prefer to save their medical care money for serious problems rather than go to the doctor for every case of flu.
Of course, people who still want to go to the doctor often, can do so, and people who have a serious problem are still covered by the catastrophic care policy.