(Gigante, S. February 22, 2010).
These numbers suggest a population which will demand a high level of services over their retirement lives, and as such place enormous pressure on premiums and fees. The result of this excess demand will be a rejoinder by physicians, hospitals, and other service providers to increase prices. The issue will be how Medicare and Medicaid policy makers will treat these price increases. If history serves as a guide, Medicare cuts will not occur to control these price increases. Recently in November 2010, Congress again failed to act to control Medicare reimbursement costs. "Repeating what has become an ominous political ritual, U.S. lawmakers voted at the last minute Monday to delay a scheduled average 25% cut in physicians' Medicare reimbursements" (Gerencher, K. November 29, 2010). The continued inaction to control prices on a payer system which will cover an additional 78 million individuals will result in the inexorable price increases which have plagued the health care system.
In addition to senior citizens adding to the demand roles, the Patient Protection and Affordability Act of 2010 allows for some 32 million of currently uninsured Americans to purchase health insurance coverage through state exchanges utilizing government subsidies (Healthcare.gov. N.D.). As 32 million more individuals utilize health services, the providers...
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