Analysis of Ryan Plan to Reform Medicare

http://economix.blogs.nytimes.com/2011/02/04/restructuring-medicare-and-the-rivlin-ryan-plan/

The Ryan plan is consistent with other GOP approaches to reforming healthcare. He advocates a voucher plan that would be used to purchase healthcare. The value of the voucher would grow by GDP plus 1% annually. This transfers the risk of growth in healthcare costs from the government to the individual. The article provides information of healthcare cost growth in Oregon which shows that healthcare costs are growing faster than GDP plus 1%.