News
Federal
State
Join Our Newsletter
Help us bring the truth about the nation’s debt to life. Sign up today for updates and more information.

 
Medicare Trustee: Medicare cuts can't be double-counted in new healthcare law
The CBO estimated the new healthcare law will reduce the deficit by coupling an expansion of federal health spending with cuts to Medicare and higher taxes. Now, a new study by a Medicare trustee suggests that the law will actually increase the deficit.

(Forbes) In March of 2011, Health and Human Services Secretary Kathleen Sebelius admitted
that the law double-counts its reductions in Medicare spending, by claiming that
the law both reduces the deficit and extends Medicare’s solvency.

Blahous estimates that at least “$470 billion of the Medicare savings under the
ACA scored by CBO through 2021 substitutes for savings required under previous
law.” Whether or not you accept his approach depends on whether or not you think
that Medicare funds should be segregated from the rest of the budget.  Read more.

<< Back