There is “little evidence” that higher payments to Medicare Advantage are justified because their enrollees are sicker than the average senior.
Every single study, regardless of ideological orientation, predicted that it would yield net savings.
Researchers are cautiously optimistic that the slowdown in health care spending is here to stay. Two factors potentially contributing to the record slowdown in growth to 3.1 percent during 2007-11: job loss and benefit changes shifting costs to the insured. Other fundamental changes, including less-rapid development of imaging technology and new pharmaceuticals may have led to the majority of the slowdown: 10 year savings may equal $770 billion.
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