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Report: Medicare To Go Broke By 2016

HeadlineMar 24, 2004

A new government report is predicting that the Medicare system will go broke in 15 years in part because of President Bush’s new Medicare prescription drug plan. Last year the government was projecting the Medicare system would stay solvent until 2026. Bush successfully pressed for an overhaul of the Medicare system that gave private insurers a much greater role in the program. An analyst from the Center for American Progress told the Washington Post the Medicare financial problems are a “direct result of increased payments to private health plans.”

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