The Motley Fool Discussion Boards

Previous Page

Investment Analysis Clubs / Macro Economic Trends and Risks

URL:  http://boards.fool.com/i-find-it-quite-odd-that-we-can-easily-find-30605654.aspx

Subject:  Re: Disability: How the unemployed survive Date:  3/25/2013  11:31 AM
Author:  CCinOC Number:  418848 of 456984

I find it quite odd that we can easily find, research, and wax eloquently on how the poor abuse the system and live on the backs of the taxes of the rest. The reason I find it odd, is that we don't seem to apply the same energy, outrage, and eloquence to the rich who are also feeding off the labors of the many, and doing so through government programs. Yet the money thrown at corporate welfare and tax loopholes dwarfs the amounts spent on the most egregiously abused programs for the poor.

While I agree that corporate welfare and tax loopholes should be intensely and critically examined, please provide a credible citation for your claim that the corporate area of exploitation "dwarfs" individual welfare such as disability.

Here's the case for individual entitlement exploitation. Where's yours?

Entitlement Bandits
http://www.nationalreview.com/articles/271006/entitlement-ba...

These anecdotes barely scratch the surface. Judging by official estimates, Medicare and Medicaid lose at least $87 billion per year to fraudulent and otherwise improper payments, and about 10.5 percent of Medicare spending and 8.4 percent of Medicaid spending was improper in 2009. Fraud experts say the official numbers are too low. “Loss rates due to fraud and abuse could be 10 percent, or 20 percent, or even 30 percent in some segments,” explained Malcolm Sparrow, a mathematician, Harvard professor, and former police inspector, in congressional testimony. “The overpayment-rate studies the government has relied on . . . have been sadly lacking in rigor, and have therefore produced comfortingly low and quite misleading estimates.” In 2005, the New York Times reported that “James Mehmet, who retired in 2001 as chief state investigator of Medicaid fraud and abuse in New York City, said he and his colleagues believed that at least 10 percent of state Medicaid dollars were spent on fraudulent claims, while 20 or 30 percent more were siphoned off by what they termed abuse, meaning unnecessary spending that might not be criminal.” And even these experts ignore other, perfectly legal ways of exploiting Medicare and Medicaid, such as when a senior hides and otherwise adjusts his finances so as to appear eligible for Medicaid, or when a state abuses the fact that the federal government matches state Medicaid outlays.
Copyright 1996-2014 trademark and the "Fool" logo is a trademark of The Motley Fool, Inc. Contact Us