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1 [i] (2009)

handle is hein.amenin/aeiabvy0001 and id is 1 raw text is: PUTTING MEDICARE CONSUMERS IN CHARGE In a unplann) d natural eperiment betwiee two funmentally differe t program dsig lnsthe federal goven11nt has ol-rted to- majot h1alth insurance pograms side by side for nearly f iftyy\ ars: Mdicare and the Federal Emploees Health Ben efits Program FE HBP). ntli a recent g 1r 11nt de(iio to plac it i the same tax preferred s'tus as most private insurer health insuani, the FEHBP consi tently outperformed Medicae in nost conrol it s till outper for msMediae in serv ice, benefit generosity fraud prevention, and o tection fom catastr ohically hi h hecalth carel expenses,. InI Pultting, MeIC'1care, ()IConumers in Cg: Lesn from/) the 1c IFI111,I, Walton FrIs analyzes the sucese ad failures of both programs11 an1d Propose rforms that \ill r eiv tlh FFHBp and impove Medicare. Francis contends tC hat the most1needed reform for Medicare and the FFHBP is to reduce the tax preference for unlimited employee health crI spending, a subsidy that swamps market incentives and egenders massive waste in the FEHBp and throughout the health care SYStem. Although the debate onhealth reorim has focused on tax ubsidic as a 'lurc o finaning, rcducing the tax preference \ill save money hy Acating Minc for prudent shopping and prudent spending wha1,t the Congressiona'l Buldget OffIi-c rcenCltly called 'beniding the curve of runl ayct rowth. Francis also clnsiders rdesigning health i1nsuranceto guliantee conumers coverage for neded medicinsbile ofifering them innties to spend C-leo unneeded care. He finds that plan competition inl MeCdicare has l ontributed substantially to roducing its (costs but is at rik from proposed budget cuts that may reduce this kind of plh competition. This :eful aalysis f Medicare aid the FFHBp iN invaluable guide for polic'mkers cn sidering major health reforms whilejuggling the tin problems of inawy halth (-a spending and looming Mediare insolvency. Walton J Franiis is an independent ou lItant and author who se d fo many yea as policy analyt in the Officeof the Scretary at the .S. Depaltimt of HeaIth and Human Services. borthirty years, he has beei the prinipal autlhor of the Annual K)S Guie to HealtPlan for Federal Employee A~~ePlcyR~oc Ifb Svnte'hSret NW Public Policy $25.00 z~~ii!lii Hiiiii 0x z Hi~ iii 0 iii iii PUTTING MEDICARE CONSUMERS IN CHARGE Lessons from the FEHBP WALTON FRANCIS ISBN-13: 978-0-8447-4283-0 ISBN-10 0-8447-4283-X 11i52500 9 780844 742830 1 A. OEM I lamw

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