Comparing Apples With Oranges: Administrative Expenses and Finances in Medicare Systems

Bo Shi

Document Type

Article

Publication Date

4-2021

Abstract

Proponents of a single-payer or public option health care system often cite the lower administrative expenses in public Medicare compared with those in private Medicare, claiming that this difference represents efficiency. We check the validity of this comparison in terms of accuracy and definitions and suggest expanding its scope to include expanded financial data of the 2 Medicare systems.

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