President Joe Biden, during the run-up to the midterm elections, often and repeatedly accused Republicans of wanting to substantially cut, if not completely eliminate, the benefits that many seniors receive via Medicare and Social Security.
Yet, a recent report has revealed that it is Biden and his fellow Democrats who will actually slash Medicare benefits in just a couple of years by way of certain provisions within the much-touted so-called Inflation Reduction Act, Breitbart reported.
If true, this would be the latest example of the political truism that Democrats often project and accuse their Republican counterparts of wanting to do what they themselves are actually doing or have previously done.
Biden and Dems will actually cut Medicare benefits
A pair of top economists who served in the prior administration’s White House Council of Economic Advisers, Casey B. Mulligan and Tomas J. Philipson, exposed the incredibly ironic turnabout in a recent op-ed for the Wall Street Journal.
“President Biden has accused Republicans of scheming to cut Medicare,” they wrote. “In fact, it is his signature legislation, the Inflation Reduction Act, that will lead to benefit cuts and premium increases for seniors. Medicare’s popular drug-coverage program is headed for a painful amputation.”
The duo explained how Medicare Part D, the prescription drug program, draws its revenue from three sources — out-of-pocket payments, member-paid premiums, and federal subsidies — but that two of those revenue streams, the subsidies and the out-of-pocket payments, will be sharply curtailed in 2025 thanks to the Inflation Reduction Act, leaving only member-paid premiums to make up the difference.
“But the statute inhibits this third revenue source, which is also subsidized, from increasing more than six percent. That’s hardly enough to cover inflation, let alone compensate for the other two revenue losses,” the economists noted.
Reality will hit right before 2024 elections
The two economists went on to predict a roughly $30 billion cut in 2025 to the estimated $110 billion revenue for Medicare Part D, meaning benefits would necessarily have to be cut due to lack of funding.
It was further noted that some seniors could conceivably switch over to Medicare Part C, also known as Medicare Advantage, to continue receiving prescription drug benefits, and though that program will also see cuts to two of its revenue streams, there is no cap on increased premiums. However, that program has its own limitations on benefits, meaning seniors will likely face higher premiums but fewer choices on covered drugs.
The really ironic part to all of this is that the forced cuts from the Inflation Reduction Act championed by Biden and the Democrats will begin to be seen in the fall of 2024, just prior to the elections, as seniors prepare to enroll in or update their Medicare coverage for 2025, which could potentially backfire tremendously on the Democratic Party’s electoral chances.
Democrats accused GOP of what their own plan will do
The dishonest fearmongering of President Biden and the Democrats was previously exposed as exactly that just prior to the elections by the Washington Examiner in a report that noted that, despite the incessant claims that Republicans led by Sen. Rick Scott (R-FL) wanted to eliminate Medicare and Social Security, Scott had repeatedly clarified that he and others only wanted to reform the programs to make them more fiscally sustainable.
Indeed, it was pretty much only Biden and Democrats who have ever talked about impending cuts to Medicare benefits, and though they accused Republicans of wanting to slash those benefits for seniors, it has now been revealed that it is they themselves who will be doing the cutting.