Context: Medicaid expansion has costs and benefits for states. The net impact on a state's budget is a central concern for policy makers debating implementing this provision of the Affordable Care Act. How large is the state-level fiscal impact of expanding Medicaid, and how should it be estimated?
Methods: We use Michigan as a case study for evaluating the state-level fiscal impact of Medicaid expansion, with particular attention to the importance of macroeconomic feedback effects relative to the more straightforward fiscal effects typically estimated by state budget agencies. We combine projections from the state of Michigan's House Fiscal Agency with estimates from a proprietary macroeconomic model to project the state fiscal impact of Michigan's Medicaid expansion through 2021.
Findings: We find that Medicaid expansion in Michigan yields clear fiscal benefits for the state, in the form of savings on other non-Medicaid health programs and increases in revenue from provider taxes and broad-based sales and income taxes through at least 2021. These benefits exceed the state's costs in every year.
Conclusions: While these results are specific to Michigan's budget and economy, our methods could in principle be applied in any state where policy makers seek rigorous evidence on the fiscal impact of Medicaid expansion.
Bunnythumper8675309 on January 8th, 2020 at 17:03 UTC »
Michigan passed a work requirement before Snyder left. They want to boot as many people as they can off the program.
ValidatingUsername on January 8th, 2020 at 16:37 UTC »
Who would have thought preventative measures and healing before severe complications would reduce overall costs
Edit1 : u/Inside_my_scars
is the winner for first person to deliver actual facts on the topic
Edit2 : u/BGAL7090
forrest38 on January 8th, 2020 at 15:50 UTC »
This was completely expected.
The Congressional Budget Office determined that the Affordable Care Act (i.e. Obamacare) would reduce the deficit by $143 billion due to a decrease in emergency room visits, which states are required by law to pay for. Any state that turned down the Medicare expansion not only was saying we don't want our citizens to have access to healthcare, but also that we want to spend more on healthcare overall since ER visits are far more expensive than preventing care methods.
It has also been found: