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...theory, the four-year-old Medicaid program gives states what amounts to a blank check from the U.S. Treasury. In practice, the program-designed to finance medical care for the needy-has proved to be a tremendous drain on state treasuries as well. Even though federal handouts cover at least 50% of the costs, several leading Medicaid states -including New York, California and Michigan-have been forced to slash aid to their "medically indigent" because the runaway rise in hospital, drug and doctors' bills threatened to engulf their budgets in red ink. Now Medicaid's first state dropout...

Author: /time Magazine | Title: Public Health: Medicaid's Maladies | 5/23/1969 | See Source »

Faced with the spiraling cost of its program, New Mexico this month cut off assistance to the 63,000 people on its Medicaid rolls. As a result, many elderly Medicaid recipients began an exodus from nursing homes, causing the State Department of Hospitals and Institutions to devise a "disaster plan" to find beds for the displaced. The irony of New Mexico's agony is that it was totally unnecessary. In March, State Budget Chief Waldo Anton (who has since resigned) persuaded the legislature to avoid an expected deficit by canceling Medicaid. He had been told by regional officers...

Author: /time Magazine | Title: Public Health: Medicaid's Maladies | 5/23/1969 | See Source »

...HEALTH. Finch wants to hold down medical costs by, among other things, making sure that Medicaid payments are no higher than those for Blue Shield. Indicative of his concern is his choice of Dr. John Knowles, director of Massachusetts General Hospital, to be Assistant Secretary for Health and Scientific Affairs. A proponent of such cost-saving schemes as group medical practice, Knowles has aroused the heated opposition of the ultraconservative American Medical Association and its Senate ally, Everett Dirksen. The G.O.P. minority leader says that he will block the nomination if it is sent to the Senate. Finch will...

Author: /time Magazine | Title: Nation: THE WELFARE STATE, REPUBLICAN STYLE | 5/2/1969 | See Source »

...prevention, and over-utilizers of emergency treatment." By luring needy patients in for more prevention--and by using the health plan's emphasis on out-patient treatment -- the Harvard center in Mission Hill will offer the poor a kind of medical assistance much different from the mere doles that Medicaid and Medicare pass...

Author: By James M. Fallows, | Title: If Medicare Fails, What Will Replace It? | 3/18/1969 | See Source »

...physicians, chiefs of staff and other hospital officers, and doctors from local medical schools. Another third of the directors will come from the consumers of the health plan. None of those members has been chosen yet, but seats are being saved for representatives of labor unions, insurance subscribers, and Medicaid patients who enter the plan...

Author: By James M. Fallows, | Title: If Medicare Fails, What Will Replace It? | 3/18/1969 | See Source »

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