Summary
The reason for healthcare costs slowing is in the drug area. A second more unintended reason is reduction in illegal residents returning to their home country due to the down turn in the economy. Also cuts in Home care have also increased along with a more fruitful Fraud and Abuse effort which was ramped up in late 2007. Now the remainder of the next few years should see an increase in Baby boomer population hitting the Medicare roles as well as forced early retierments, due to the economic slowdown.
Analysis
Probably a 6 to 7% increase in 2008, early 2009.
This author consults with leading institutions through GLG
Analyses are solely the work of the authors and have not been edited or endorsed by GLG.
