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Don't Look Now, but Our Medicare Spending Projections Are Plummeting Here's the story budget wonks will tell from today's Congressional Budget Office report: The deficit is poised to shrink to its lowest level since 2008. Good news? Yes, if you're a deficit hawk. Bad news? Yes, if you think (as I do) the deficit is falling too quickly, especially at a time of high unemployment and declining household debt. Here's the story I wish more people would talk about: Our incredible shrinking Medicare projections. Since August, CBO has now revised down its projections of mandatory health care spending by nearly $500 billion, as Michael Linden pointed out. Since the 2010 CBO report, projected Medicare spending between 2013 and 2020 has fallen by just over $1 trillion ... or 16%. Why should you care? Two reasons: ~ First, the "runaway" growth of health care costs has been a motivating reason for responsible very serious Washingtonians to ignore the unemployment crisis and focus on our deficit. _But lo-and-behold, we've cut more than ONE TRILLION DOLLARS from projected Medicare spending -- and much more if you project out for the full decade. Many of the cuts have come from laws, like the Affordable Care act. Others came from lower growth in overall health care spending. ~ Second -- and this is the really important point I wish I could make more often -- this is an invaluable lesson in the folly of long-term budget projections (yeah, I appreciate the irony that I'm graphing budget projections to make this point). In a world where all predictions about the future of US government spending turn out to be true, it makes a lot of sense to pay rapt attention to 10- and 20-year forecasts of spending and revenue. But in a world where the most exquisitely delicate change in hospital cost inflation suddenly saves hundreds of billions of dollars, it makes projections impressionistic, at best. _In the future, there are budget crises that some wonks think might happen. But, in the present, there is a long-term unemployment crisis that we know is happening. http://www.theatlantic.com/business/archive/2013/05/dont-look-now-but-our-medicare-spending-projections-are-plummeting/275849/ Fed Says US Household Debt Declined to 2006 Level US households reduced debt during the first quarter by 1 percent to the lowest level since 2006, resuming a deleveraging trend in the wake of the financial crisis, according to the Federal Reserve Bank of New York. Household debt fell to $11.2 trillion in the first quarter compared with a peak burden of $12.7 trillion in the third quarter of 2008. Consumers reduced debt by $110 billion after increasing their borrowing by $31 billion in the fourth quarter of 2012, while delinquency rates fell “across the board,” the Fed district bank said in a statement. Student debt bucked the trend, rising to a record $986 billion. “Household deleveraging has resumed its previous trajectory,” Wilbert van der Klaauw, a senior vice president and economist at the New York Fed, said today in a statement. “We'll look to see if this pace of debt reduction and delinquency improvements will persist.” Consumers are repairing their post-crisis balance sheets as the Fed tries to spur the expansion and enliven the job market by holding the main interest rate at zero and buying $85 billion in bonds every month. More than four years of record stimulus have yet to reignite household borrowing, and the unemployment rate has exceeded 7 percent since December 2008. http://www.bloomberg.com/news/2013-05-14/fed-says-us-household-debt-declined-to-2006-level.html
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Don't Look Now, but Our Medicare Spending Projections Are Plummeting Here's the story budget wonks will tell from today's Congressional Budget Office report: The deficit is poised to shrink to its lowest level since 2008. Good news? Yes, if you're a deficit hawk. Bad news? Yes, if you think (as I do) the deficit is falling too quickly, especially at a time of high unemployment and declining household debt. Here's the story I wish more people would talk about: Our incredible shrinking Medicare projections. Since August, CBO has now revised down its projections of mandatory health care spending by nearly $500 billion, as Michael Linden pointed out. Since the 2010 CBO report, projected Medicare spending between 2013 and 2020 has fallen by just over $1 trillion ... or 16%. Why should you care? Two reasons: ~ First, the "runaway" growth of health care costs has been a motivating reason for responsible very serious Washingtonians to ignore the unemployment crisis and focus on our deficit. _But lo-and-behold, we've cut more than ONE TRILLION DOLLARS from projected Medicare spending -- and much more if you project out for the full decade. Many of the cuts have come from laws, like the Affordable Care act. Others came from lower growth in overall health care spending. ~ Second -- and this is the really important point I wish I could make more often -- this is an invaluable lesson in the folly of long-term budget projections (yeah, I appreciate the irony that I'm graphing budget projections to make this point). In a world where all predictions about the future of US government spending turn out to be true, it makes a lot of sense to pay rapt attention to 10- and 20-year forecasts of spending and revenue. But in a world where the most exquisitely delicate change in hospital cost inflation suddenly saves hundreds of billions of dollars, it makes projections impressionistic, at best. _In the future, there are budget crises that some wonks think might happen. But, in the present, there is a long-term unemployment crisis that we know is happening. http://www.theatlantic.com/business/archive/2013/05/dont-look-now-but-our-medicare-spending-projections-are-plummeting/275849/ Fed Says US Household Debt Declined to 2006 Level US households reduced debt during the first quarter by 1 percent to the lowest level since 2006, resuming a deleveraging trend in the wake of the financial crisis, according to the Federal Reserve Bank of New York. Household debt fell to $11.2 trillion in the first quarter compared with a peak burden of $12.7 trillion in the third quarter of 2008. Consumers reduced debt by $110 billion after increasing their borrowing by $31 billion in the fourth quarter of 2012, while delinquency rates fell “across the board,” the Fed district bank said in a statement. Student debt bucked the trend, rising to a record $986 billion. “Household deleveraging has resumed its previous trajectory,” Wilbert van der Klaauw, a senior vice president and economist at the New York Fed, said today in a statement. “We'll look to see if this pace of debt reduction and delinquency improvements will persist.” Consumers are repairing their post-crisis balance sheets as the Fed tries to spur the expansion and enliven the job market by holding the main interest rate at zero and buying $85 billion in bonds every month. More than four years of record stimulus have yet to reignite household borrowing, and the unemployment rate has exceeded 7 percent since December 2008. http://www.bloomberg.com/news/2013-05-14/fed-says-us-household-debt-declined-to-2006-level.html
Recent Updated: 4 days ago - Created by Pamela Zuppo - View

Copyright and permission to use should be sought to the author - Pamela Zuppo

Please share & warn your loved ones – BBB received calls today from elderly residents who say representatives claiming to be from Medicare contacted them and asked for personal banking information for supplies. Medicare will NEVER call to sell you anything! http://www.stopmedicarefraud.gov/
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Please share & warn your loved ones – BBB received calls today from elderly residents who say representatives claiming to be from Medicare contacted them and asked for personal banking information for supplies. Medicare will NEVER call to sell you anything! http://www.stopmedicarefraud.gov/
Recent Updated: 9 days ago - Created by BBB of NE, SD, KS, SW IA - View

Copyright and permission to use should be sought to the author - BBB of NE, SD, KS, SW IA

Ask Medicare
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Keywords: ask Medicare caregivers
Ask Medicare
Recent Updated: 19 days ago - Created by Patrick Leer - View

Copyright and permission to use should be sought to the author - Patrick Leer

Medicare Salt Lake City UT
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Keywords: Medicare Salt Lake City UT
Medicare Salt Lake City UT
Recent Updated: 3 months ago - Created by Matt Selph - View

Copyright and permission to use should be sought to the author - Matt Selph

Medicare National, LLC
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Medicare National, LLC
Recent Updated: 6 months ago - Created by Local photos - View

Copyright and permission to use should be sought to the author - Local photos

Vermont Medicare Is A Federal Health Program For People Of Age 65 Or Above. People With Disabilities Or With Disease Like End Stage Renal Disease (Esrd) With Age Less Than 65 Are Also Covered By Medicare. Know more at http://www.medicarevermont.com/
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Vermont Medicare Is A Federal Health Program For People Of Age 65 Or Above. People With Disabilities Or With Disease Like End Stage Renal Disease (Esrd) With Age Less Than 65 Are Also Covered By Medicare. Know more at http://www.medicarevermont.com/
Recent Updated: 6 months ago - Created by emma willis - View