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Gov’t: Spending to rise under health care overhaul
The study also showed:
_Government is becoming the dominant player in health care even without Obama’s law. Federal, state and local government spending will overtake private sources in 2011, three years before the main provisions of the overhaul take effect. The biggest programs are Medicare and Medicaid.
_Even after the health care overhaul is fully phased in, three out of five people under age 65 will still have private coverage, with most continuing to get benefits through their employers.
_Two federal-state programs, Medicaid and children’s health insurance, will grow dramatically under the overhaul. Enrollment will jump 34 percent between 2013 and 2014, to more than 85 million people. States will be bigger players in health care _ and face new pressures over the long run.
The White House released its own analysis of the report, calculating that total health care spending per insured person would be more than $1,000 lower under the law.
A White House blog post from health reform director Nancy-Ann DeParle said that by 2019 overall health care spending per insured person would average $14,720 under the law, compared with $16,120 if Congress and the president had not acted, or $1,400 less.
DeParle acknowledged that spending would rise in the short run as uninsured people gain coverage, but noted the rate of growth would slow in the second half of the decade. “A close look at this report’s data suggest that for average Americans, the Affordable Care Act will live up to its promise,” she said.
The Medicare analysts’ report is available online from the journal Health Affairs.
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