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Donald H. Taylor

In: Guide to U.S. Health and Health Care Policy

Chapter 13: Government Financing of Health Care (1940s–Present)

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Government Financing of Health Care (1940s–Present)
Government financing of health care (1940s–present)
Donald H.Taylor Jr.

About every other dollar flowing into the health care system is paid by governmental sources, particularly the federal, but also state governments, with the remainder being paid for via private means, both insurance and self-pay. However, governmental financing has played an even larger role in shaping the health care system, first in an era of initial and continued infrastructure building and later following the passage of the key insurance programs Medicare and Medicaid in 1965. Through Medicare, the federal government provided a predictable payer of broad-based health care services, and over time the inclusion of a service or therapy in Medicare's benefit package came to be viewed as a practical definition of ...

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