Medicare Part D and the financial protection of the elderly
- Series Title(s):
- Center for Retirement Research working paper
Engelhardt, Gary V.
Center for Retirement Research at Boston College.
- Chestnut Hill, MA : Center for Retirement Research at Boston College, c2009
- Financing, Personal Health Expenditures Insurance, Pharmaceutical Services -- economics Medicare Part D -- economics Aged Drug Utilization Economic Competition Insurance Coverage -- statistics & numerical data Private Sector Public Sector Risk Humans United States
- Technical Report
- We examine the impact of the expansion of public prescription prescription-drug insurance coverage from Medicare Part D has had on the elderly and find evidence of substantial crowd-out. Using detailed data from the 2002-6 waves of the Medical Expenditure Panel Survey (MEPS), we estimate that the extension of Part D benefits resulted in 75% crowd-out of prescription drug insurance coverage and 33%-50% crowd-out of prescription drug expenditures of those 65 and older. Part D is associated with relatively small reductions in out-of-pocket spending. This suggests that the welfare gain from protecting the elderly from out-of-pocket spending risk through Part D has been small.
- Reproduced with permission of the copyright holder. Further use of the material is subject to CC BY license. (More information)
- 44 p.
- NLM Unique ID:
- 101519291 (See catalog record)