As the White House prepares its fiscal roadmap to deficit reduction, it’s not clear what role the looming cuts under sequestration will play. However, one of President Obama’s top economists said the administration will fight to keep Medicaid off the chopping block. So, that leaves Medicare exposed to potential cuts.
Meanwhile, health economists are questioning the effectiveness of the individual insurance mandate, saying that exemptions included in the recently proposed rule highlight the mandate’s weakness.
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Among the exempted are the incarcerated, American Indians, and the Medicaid-eligible living in states that aren’t expanding the program. Princeton policy expert Uwe Reinhardt said the mandate is anything but – and young people likely will find it cheaper to just pay the penalty.
To hear more, and for details about how the feds are testing bundled payments for doctors and hospitals, check out this week’s Policy & Practice podcast.
- Frances Correa (@FMCReporting)