The Medicare program provides subsidized medical insurance for the elderly and for some disabled people. During 2012, enrollment in Medicare averaged about 50 million people. Gross spending (excluding administrative costs that are subject to appropriation) for the program was $551 billion. (Net spending, which has beneficiaries’ payments of premiums and some other receipts subtracted out, was $466 billion.) CBO anticipates that Medicare spending will rise rapidly over the next decade, spurred by the retirement of the baby boomers. The agency’s work on Medicare includes projections of future program spending, cost estimates of specific legislative proposals, and a range of analyses of policy options and issues affecting the program.
Medicare
featured work
A Premium Support System for Medicare: Analysis of Illustrative OptionsSep 2013 - CBO analyzes the ways two illustrative options for a premium support system for Medicare would affect federal spending and beneficiaries’ choices and payments.
Long-Term Budget OutlookSep 2013 - Federal debt would grow to 100 percent of GDP by 2038 under current law, CBO projects, and would be on an upward path relative to the size of the economy—a trend that could not be sustained indefinitely.
Dual-Eligible Beneficiaries of Medicare and Medicaid: Characteristics, Health Care Spending, and Evolving PoliciesJun 2013 - People eligible for both Medicare and Medicaid benefits—known as “dual-eligible beneficiaries”—are a varied group, but many have extensive health care needs and account for a disproportionate share of spending on Medicare and Medicaid.
Medicare—May 2013 BaselineMay 2013
Offsetting Effects of Prescription Drug Use on Medicare’s Spending for Medical ServicesNov 2012 - CBO estimates that greater use of prescription drugs by Medicare beneficiaries reduces Medicare’s spending on medical services.
Letter to the Honorable John Boehner providing an estimate for H.R. 6079, the Repeal of Obamacare ActJul 2012 - CBO and the JCT have estimated the direct spending and revenue effects of H.R. 6079, as passed by the House of Representatives on July 11, 2012.
The Long-Term Budgetary Impact of Paths for Federal Revenues and Spending Specified by Chairman RyanMar 2012 - The calculations presented here represent CBO's assessment of how the specified paths would alter the trajectories of federal debt, revenues, spending, and economic output relative to the trajectories under two scenarios that CBO has analyzed previously.
Raising the Ages of Eligibility for Medicare and Social SecurityJan 2012 - This issue brief reviews how ages of eligibility affect beneficiaries under current law and how delaying eligibility would affect beneficiaries, the federal budget, and the economy.
Lessons from Medicare's Demonstration Projects on Disease Management, Care Coordination, and Value-Based PaymentJan 2012 - CBO reviews the outcomes of 10 major demonstrations that have been evaluated by independent researchers.
Medicare Part DDec 2011 - In 2008, low-income enrollees who received an additional subsidy to participate in Medicare's prescription drug program spent on average twice as much as those not receiving the additional subsidy.
latest work
Testimony on The 2013 Long-Term Budget Outlook
reportSeptember 26, 2013Press Briefing on The 2013 Long-Term Budget Outlook
presentationSeptember 23, 2013Medicare and Social Security Payroll Taxes and Benefits for People in Different Birth Cohorts
blog postSeptember 20, 2013Comment on “Is This Time Different? The Slowdown in Healthcare Spending”
presentationSeptember 19, 2013The Slowdown in Health Care Spending
blog postSeptember 19, 2013A Premium Support System for Medicare: Analysis of Illustrative Options
reportSeptember 18, 2013An Overview of the Medicare Program
blog postSeptember 18, 2013Federal Spending on the Government’s Major Health Care Programs Is Projected to Rise Substantially Relative to GDP
blog postSeptember 18, 2013
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