The Medicaid program is largely responsible for problems in long-term care, according to a paper recently published by the Paragon Institute.
“Medicaid is the primary reason aging Americans have had few other choices [than nursing homes] for decades,” Stephen Moses, president of the Center for Long-Term Care Reform, wrote in Long-Term Care: The Problem.
Calling Medicaid “a welfare program,” Moses contends that the program “incentivizes states to maximize federal Medicaid dollars without ensuring cost efficiency, value, or quality.”
Because the federal government reimburses about two-thirds of state Medicaid spending, Moses asserts that it has become the dominant long-term care funding source for the poor and middle class. “Medicaid serves neither population well,” he wrote.