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Equity and Medicaid

Bruce Stuart

Journal of Human Resources, 1972, vol. 7, issue 2, 162-178

Abstract: This paper is concerned with the differential impact of the Medicaid program on state incomes in 1967-68. Benefits and costs of the program are calculated for each state and the results are evaluated in terms of the perceived original intent of the program planners. It was found that although the program favors the poor in all states with Title XIX plans, it does so at the expense of extreme horizontal inequity. The conclusion is that federal incentives for the development of comprehensive state Medicaid programs are inadequate to insure an equitable system for the distribution of program benefits and costs.

Date: 1972
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