Blog »

+A -A
Avik Roy: How Obamacare Harms the Poor July 30, 2012

There are many problems with Obamacare. But the law’s cruelest feature is what it will do to low-income Americans who are already struggling. Study after study shows that patients on Medicaid have far worse health outcomes than those with private insurance. The largest study of this type, conducted by the University of Virginia on nearly 1 million patients, found that surgical patients on Medicaid were 97 percent more likely to die in the hospital than those with private insurance, and 13 percent more likely to die than those with no insurance at all.

These results are not surprising. Medicaid pays doctors and hospitals, on average, about half of what private insurers pay. Most often, Medicaid pays less than what the care actually costs. As a result, doctors face the choice of caring for Medicaid patients — and going bankrupt — or shutting their doors to the poor and focusing instead on those with private insurance.

Continue reading…