Medicaid Block Grants and Medicaid Performance
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States increase the cost of health care for Federal funds
from FoxNews

Medicaid has expanded rapidly since its inception in 1965. This could possibly be linked to the program’s financial structure, in which the federal government matches state spending. The incentives are so dysfunctional that states have increased the cost of health care in order to increase the federal matching funds that they receive, says Linda Gorman, a senior fellow at the Independence Institute.

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