Bidding Restrictions Could Lower Consumer Welfare by $230 Billion To deal with the looming spectrum crunch, Congress passed the Middle Class Tax Relief and Job Creation Act of 2012, which would, through reverse auctions, compensate TV stations for giving up broadcast airwaves and, through forward auctions, allow wireless service providers to repurpose the spectrum […]
Congress has an urgent need to control Federal Deficit. Earlier this year, the National Commission on Fiscal Responsibility and Reform identified the containment of government medical program costs as a major priority to controlling the Federal spending. With the aging US population, the need to address ways to control medical costs is more important than […]
In 2003 legislation required Medicare to begin a competitive bidding program for durable medical equipment. Later legislation delayed implementation until 2009. To support the original requirement in 2005 the Centers for Medicare and Medicaid Services ( CMS) began a study named Evaluation of National DMEPOS Competitive Bidding Program . The results of all research activities […]
You can read the entire letter to the white house here.
A recent study by the American Consumer Institute (ACI) concluded that the Centers for Medicare and Medicaid Services (CMS) new bidding program would likely lead to higher medical costs and reduced outcomes. The study’s findings are consistent with the conclusions of many auction experts who have pointed to flaws in the CMS program that would […]
By Erwin A. Blackstone and Joseph P. Fuhr Jr. In January 2011, Medicare began a program that employed a competitive bidding auction in an attempt to constrain prices for durable medical equipment and supplies (DMEPOS). However, there are other factors besides price — such as quality and level of service — that need to be […]