Abstract

Dealing the Drug Cards

In June 2004, some 40 million people on Medicare in the United States can start using discount cards touted by the President George W. Bush Administration as a major initiative to help seniors save money on their prescription drugs. An actuarial study by Consumers Union's Center for Consumer Health Choices and the California HealthCare Foundation shows that for people who take a lot of medicines, the savings can be significant. But in the long run, discount cards are not good for seniors; they simply cover a deeper problem: the rising cost of healthcare, in particular prescription drugs. The cards are the first step on the path to privatizing the government's commitment to helping seniors pay for healthcare through the Medicare program. Conservatives and their Republican allies would like to eliminate Medicare and turn healthcare for seniors over to private companies.