Increased use of medication drugs drives down other medical costs in Medicaid

To know a outcome of medication drug use on medical costs among Medicaid recipients,
M. Christopher Roebuck during RXEconomics, LLC and coauthors examined information from 2008 to 2010. They resolved that a 1.000 percent boost in altogether medication drug use was compared with decreases in sum nondrug Medicaid costs by 0.108 percent for blind or infirm adults, 0.167 percent for other adults, and 0.041 percent for children.

These medical cost offsets were essentially driven by reductions in inpatient, followed by outpatient, spending that are allied to a metric used by a Congressional Budget Office for Medicare. The authors state that this investigate helps process makers some-more accurately consider budgetary impacts of medication drug use among Medicaid enrollees.

Study: Increased Use Of Prescription Drugs Reduces Medical Costs In Medicaid Populations, M. Christopher Roebuck, J. Samantha Dougherty, Robert Kaestner and Laura M. Miller, Health Affairs, doi: 10.1377/hlthaff.2015.0335, published Sep 2015.