Research Shows Medicare Part D Crowds Out Private Insurance, Public Funds Cut Seniors’ Costs
in this Research Summary for the Center for Policy Innovation Research at the Heritage Foundation, Winfree writes that,
In 2003, the Medicare Modernization Act added a publicly funded prescription drug benefit to Medicare. Known as Part D, the program was a major expansion of Medicare. Economists Gary Engelhardt of Syracuse University and Jonathan Gruber of the Massachusetts Institute of Technology have examined the degree to which the new and subsidized drug coverage replaced existing private drug coverage, and the degree to which public spending replaced the costs previously borne by seniors. The Heritage Foundation’s Center for Policy Innovation distills the research findings.