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Health Agencies Update
June 22 2011

Medicare Report

JAMA. 2011;305(24):2510. doi:10.1001/jama.2011.870

Medicare's Hospital Insurance Trust Fund, which pays for inpatient hospital care and related care, was substantially improved by the lower expenditures and additional tax revenues instituted by the Affordable Care Act, according to the recently released annual Medicare Trustees Report (http://tinyurl.com/3pzsn67). However, because of a slowdown in the US economy that resulted in lower tax revenues and higher real projected expenditures, it is now estimated that the fund will be exhausted in 2024—5 years earlier than was projected in last year's report—and is not adequately financed over the next 10 years.

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