The CMS this week reported that the cost of the Medicare Drug benefit is
now projected to be $34 billion lower over 5 years (2006-2010) than in the President’s Budget, and $110 billion lower than in the Mid-Session Review one year ago. The average Part D premium is almost 40 percent lower than had been projected a year ago as a result of strong competition.
Now, before everyone pummels me for supporting Part D, understand that I’m not. Rather, I’m pointing out that government programs that rely on the market to operate work better than those that do not, as the Medicare Drug benefit.