Slashing Medicaid Payments


Governors of both parties are proposing  cuts in Medicaid programs to reduce expenses.  This may not be such an outlandish plan.

I remember when Giullani was mayor on NYC he took a large number of people off welfare. The outcome was quite remarkable.  Former recipients began to work and were able to manage for themselves. Self esteem grew among these individuals and the city saved money.

A similar event occurred in the ’70s.  Creedmore employees went on strike and the inmates had to go home. When the strike was over I seem to remember that only 1/2 of the original population returned.  I have not found the reference to this yet.

So perhaps reducing Medicaid benefits will reduce the number of doctor visits (now 10 a year!) and the amount of medication people are prescribed (6 prescriptions a month!). There may also be a stronger push for prevention and wellness  treatment since procedures, doctor visits and drugs will be less reimbursable. Individual recipients may also take more responsibility for their own health. I suspect that the AMA and drug companies are strongly opposed to reduction of Medicaid funding.

I wrote a while ago about cutting out Medicare because of the large amount of fraud surrounding this program.  Let’s add Medicaid to this proposal.

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