The federal government's open-ended commitment to finance medical care for the nation's elderly population and eligible poor people has been reduced by wholesale reductions in spending that were incorporated in the $98.3-billion tax-increase bill President Reagan signed into law on September 3. These changes in health policy reflect three important trends: the government's preference for cutting spending by reducing payments for care rather than paring benefits, a stronger congressional commitment to health programs targeted for the poor than administration policies would afford, and overall, a demonstration that health care as a political issue has lost some of its allure as . . .
Read full abstract