The forecast aging of the United States the doublingof the share of the population over 65 years of age in the next75 years1 will have profound effects on the medicalsystem. Pessimists worry that the increase in the elderly populationwill bankrupt the Medicare program; they urge the restructuringof Medicare coverage in order to accommodate the needs of thispopulation.2 Optimists note that medical spending is relatedto disability more than to longevity. If, as recent data indicate,the aging population not only is living longer but is also healthier,3then spending for medical care . . . [Full Text of this Article]
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From the Department of Economics, Harvard University, Cambridge, Mass.
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