This is a campaign of retribution. Trump is weaponizing the entirety of the federal government to punish blue states like Minnesota.
These cuts will be devastating for veterans, families with young kids, folks with disabilities, and working people across our state.
This administration is using healthcare fraud- a real policy concern- as a fig leaf to target political enemies. An administration that repeatedly lies and violates the law and Constitution shouldn't be trusted with unchecked power to arbitrarily pull funding without due process.
Medicare Part B spends over $40 billion on physician-administered drugs. Our new study, forthcoming in the Journal of Public Economics, finds that the program's payment formula slows drug price growth over time.
Team: Angie Acquatella, Keith Marzilli Ericson, Amanda Starc
Full paper: authors.elsevier.com/c/1meWZAlwA2...
We need to account for dynamics when forecasting the cost of government drug procurement. While our focus here is on US Medicare, similar dynamic incentives can be created from European external reference pricing systems.
We find that drugs with above-median Medicare exposure had approximately 10% lower prices after 3 years compared to less-exposed drugs that launched at the same price. The effect was larger for newly approved molecules facing limited competition, suggesting the main estimates are conservative.
Firms often follow an "invest then harvest" strategy: enter at a low price, then raise prices later. But Medicare's lagged-price formula flips the incentives. A high early price locks in generous Medicare reimbursement. Restrained price increases (or decreases) give providers better margins later.
Medicare Part B covers physician-administered drugs— chemotherapy, immunosuppressives, etc-- and uses lagged-price cost-plus reimbursement: it pays providers 106% of the average price from two quarters ago.
Medicare Part B spends over $40 billion on physician-administered drugs. Our new study, forthcoming in the Journal of Public Economics, finds that the program's payment formula slows drug price growth over time.
Come work with me! I'm hiring for a post-doc position with expertise in health economics, to work on projects about healthcare markets and organizational form. Apply at academicjobsonline.org/ajo/jobs/31702
Most insurance claim denials are for admin reasons. The Boston Globe quotes me: "the number of administrative denials is surprising because administrative problems should be solvable.... software could prescreen claims to flag simple problems and catch incomplete claims before they are submitted.”
If an agency considers the costs of a regulation, it should also consider the benefits.
Wash Post, CBS News, next CNN?, etc are not money makers. The owners give the Trumpists what they want and get favorable treatment for their other businesses in exchange. Owners make money that way. The regime wants quiescence. No one in this exchange cares if the outlets have audience or profits.
While I agree one can strategically dip into different media ecosystems to learn what is going on, I am concerned that spending time there will shape how one thinks. Even smart, well intentioned people are not immune to manipulation.
The topic is heavy, but Gourevitch’s We Wish to Inform You That Tomorrow We Will Be Killed With Our Families was impactful and gripping to me when I read it 25 years ago, and I still remember it. www.theguardian.com/books/2015/m...
The PhD is a research degree-- we aim to train students who do research on economics that is relevant to the practice of business.
I’m thrilled to share that BU Questrom is launching a PhD program in Business Economics, in collaboration with BU’s Department of Economics. Our goal is to prepare students to do high-impact research setting them up for academic careers. Read a Q&A here: practicingeconomist.com/boston-unive...
I’m thrilled to share that BU Questrom is launching a PhD program in Business Economics, in collaboration with BU’s Department of Economics. Our goal is to prepare students to do high-impact research setting them up for academic careers. Read a Q&A here: practicingeconomist.com/boston-unive...
Catastrophic coverage is "really designed for someone who has access to a large amount of financial assets or credit, and could cover about $9,000 in healthcare spending as an individual or $18,000 as a family" -Keith Ericson www.newsweek.com/health-cover...
Suggests anything that the FTC has done without Slaughter can be challenged as invalid and without legal authority. Good scope for some creative attorneys…
Nearly all PhDs take 5 years--with finishing in 4 a rare outcome. This is deliberately designed to eliminate the international powerhouse that is US postgraduate training.
I am honored to be appointed to the Massachusetts Health Policy Commission. I look forward to helping our Commonwealth get better healthcare at lower cost. @masshpc.bsky.social
#mapoli #HealthPolicy @buquestrom.bsky.social insights.bu.edu/professor-ke...
My resignation letter from CDC. Dear Dr. Houry, I am writing to formally resign from my position as Director of the National Center for Immunization and Respiratory Diseases at the Centers for Disease Control and Prevention (CDC), effective August 28, 2025, close of business. I am happy to stay on for two weeks to provide transition, if requested. This decision has not come easily, as I deeply value the work that the CDC does in safeguarding public health and am proud of my contributions to that critical mission. However, after much contemplation and reflection on recent developments and perspectives brought to light by Secretary Robert F. Kennedy Jr., I find that the views he and his staff have shared challenge my ability to continue in my current role at the agency and in the service of the health of the American people. Enough is enough. While I hold immense respect for the institution and my colleagues, I believe that it is imperative to align my professional responsibilities to my system of ethics and my understanding of the science of infectious disease, immunology, and my promise to serve the American people. This step is necessary to ensure that I can contribute effectively in a capacity that allows me to remain true to my principles.
The recent change in the adult and children’s immunization schedule threaten the lives of the youngest Americans and pregnant people. The data analyses that supported this decision have never been shared with CDC despite my respectful requests to HHS and other leadership. This lack of meaningful engagement was further compounded by a “frequently asked questions” document written to support the Secretary’s directive that was circulated by HHS without input from CDC subject matter experts and that cited studies that did not support the conclusions that were attributed to these authors. Having worked in local and national public health for years, I have never experienced such radical non-transparency, nor have I seen such unskilled manipulation of data to achieve a political end rather than the good of the American people. It is untenable to serve in an organization that is not afforded the opportunity to discuss decisions of scientific and public health importance released under the moniker of CDC. The lack of communication by HHS and other CDC political leadership that culminates in social media posts announcing major policy changes without prior notice demonstrate a disregard of normal communication channels and common sense. Having to retrofit analyses and policy actions to match inadequately thought-out announcements in poorly scripted videos or page long X posts should not be how organizations responsible for the health of people should function. Some examples include the announcement of the change in the COVID-19 recommendations for children and pregnant people, the firing of scientists from ACIP by X post and an op-ed rather than direct communication with these valuable experts, the announcement of new ACIP members by X before onboarding and vetting have completed, and the release of term of reference for an ACIP workgroup that ignored all feedback from career staff at CDC.
Their desire to please a political base will result in death and disability of vulnerable children and adults. Their base should be the people they serve not a political voting bloc. I have always been first to challenge scientific and public health dogma in my career and was excited by the opportunity to do so again. I was optimistic that there would be an opportunity to brief the Secretary about key topics such as measles, avian influenza, and the highly coordinated approach to the respiratory virus season. Such briefings would allow exchange of ideas and a shared path to support the vision of “Making America Healthy Again.” We are seven months into the new administration, and no CDC subject matter expert from my Center has ever briefed the Secretary. I am not sure who the Secretary is listening to, but it is quite certainly not to us. Unvetted and conflicted outside organizations seem to be the sources HHS use over the gold standard science of CDC and other reputable sources. At a hearing, Secretary Kennedy said that Americans should not take medical advice from him. To the contrary, an appropriately briefed and inquisitive Secretary should be a source of health information for the people he serves. As it stands now, I must agree with him, that he should not be considered a source of accurate information. The intentional eroding of trust in low-risk vaccines favoring natural infection and unproven remedies will bring us to a pre-vaccine era where only the strong will survive and many if not all will suffer. I believe in nutrition and exercise. I believe in making our food supply healthier, and I also believe in using vaccines to prevent death and disability. Eugenics plays prominently in the rhetoric being generated and is derivative of a legacy that good medicine and science should continue to shun.
The recent shooting at CDC is not why I am resigning. My grandfather, who I am named after, stood up to fascist forces in Greece and lost his life doing so. I am resigning to make him and his legacy proud. I am resigning because of the cowardice of a leader that cannot admit that HIS and his minions’ words over decades created an environment where violence like this can occur. I reject his and his colleagues’ thoughts and prayers, and advise they direct those to people that they have not actively harmed. For decades, I have been a trusted voice for the LGBTQ community when it comes to critical health topics. I must also cite the recklessness of the administration in their efforts to erase transgender populations, cease critical domestic and international HIV programming, and terminate key research to support equity as part of my decision. Public health is not merely about the health of the individual, but it is about the health of the community, the nation, the world. The nation’s health security is at risk and is in the hands of people focusing on ideological self-interest. I want to express my heartfelt gratitude for the opportunities for growth, learning, and collaboration that I have been afforded during my time at the CDC. It has been a privilege to work alongside such dedicated professionals who are committed to improving the health and well-being of communities across the nation even when under attack from within both physically and psychologically. Thank you once again for the support and guidance I have received from you and previous CDC leadership throughout my tenure. I wish the CDC continued success in its vital mission and that HHS reverse its dangerous course to dismantle public health as a practice and as an institution. If they continue the current path, they risk our personal well-being and the security of the United States.
Full resignation letter from Demetre C. Daskalakis, a CDC leader, does not hold back.
"The recent shooting at CDC is not why I am resigning. My grandfather, who I am named after, stood up to fascist forces in Greece and lost his life doing so. I am resigning to make him and his legacy proud."
"The A.I. companies selected to oversee the program would have a strong financial incentive to deny claims. Medicare plans to pay them a share of the savings generated from rejections."
www.nytimes.com/2025/08/28/h...
