Tags: Healthcare Reform | federal | healthcare | spending | skyrocket

Federal Healthcare Spending to Skyrocket by 2020

Tuesday, 02 Aug 2011 10:56 AM

By T.M. Golub

Federal healthcare spending is estimated to top $4 trillion by 2020, fueled by an increased number of Americans on Medicaid, the conservative website Heritage.org reports.
A study released last week by the Centers for Medicare and Medicaid Services (CMS), titled “National Health Spending Projections Through 2020: Economic Recovery And Reform Drive Faster Spending Growth,” outlines the costs associated with Obamacare into the next decade.
The study says the program’s supposed aim at bending the “cost curve” is nothing more than an increase of the government’s share of spending in the healthcare sector.
As major provisions of Obamacare are implemented, coupled with a recovering economy in the years ahead, figures are estimated to rise considerably, increasing an average of 5.8 percent each year.
At that rate, spending on healthcare will equal $4.54 trillion by 2020, or nearly 20 percent of the Gross Domestic Product (GDP) — the market value of all goods and services produced within a country during a given period. In comparison, federal tax revenue for 2010 equaled 14.9 percent of GDP, while all combined federal spending totaled 23.8 percent of GDP.
With 25 million Americans predicted to be on Medicaid rolls in the coming years and federally funded healthcare exchanges, the federal government looks to expand exponentially into this sector — despite the fact that the original goal of the Medicaid program was to provide for the most vulnerable citizens.
Come 2020, estimated government healthcare spending will be about 49 percent of all health expenditures, with Medicare and Medicaid accounting for 20 percent each. This estimate would see federal spending on healthcare exceed private spending.

© 2015 Newsmax. All rights reserved.

Around the Web
Join the Newsmax Community
Please review Community Guidelines before posting a comment.
>> Register to share your comments with the community.
>> Login if you are already a member.
blog comments powered by Disqus
Zip Code:
Privacy: We never share your email.
Hot Topics
Follow Newsmax
Like us
on Facebook
Follow us
on Twitter
Add us
on Google Plus
You May Also Like

Donald Trump Gets Key to Fla. City for Hotel Project, Miss Universe Event

Friday, 30 Jan 2015 08:29 AM

Donald Trump will receive a Key to the City of Doral, Florida, just a few days after he helped bring the Miss Universe p . . .

Polaris Slingshot Roadster Recalled for Steering Rack Defects

Friday, 30 Jan 2015 08:29 AM

Polaris has recalled its Slingshot roadster after issuing "stop sale" and "stop ride" orders earlier this month in conne . . .

Idina Menzel's Super Bowl National Anthem Her Dream

Friday, 30 Jan 2015 08:26 AM

Broadway star Idina Menzel said singing the anthem before Super Bowl 49 on Sunday is the culmination of a lifelong dream . . .

Top Stories

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

America's News Page
©  Newsmax Media, Inc.
All Rights Reserved