Medicaid

Abstract

When Medicaid was enacted in 1965 as a legislative afterthought to Medicare, few would have predicted its evolution into a basic component of the American health care system. In this report, I examine Medicaid, which has become one of the most complex social-welfare programs, and consider prospects for its reform.Overview of the ProgramMedicaid, codified under Title XIX of the Social Security Act, provides federal financial assistance to states operating approved medical-assistance plans. Unlike eligibility for Medicare, eligibility for Medicaid is means-tested (i.e., there are financial criteria for enrollment); like Medicare, however, Medicaid is an individual legal entitlement.¹, . . .