Obama Seeks Another $313B in Health Cuts

In an effort to pay for his ambitious health care plans, Barack Obama today proposed another $313 billion in cuts to government health care spending over the next decade, the Wall Street Journal reports. That brings the total cuts proposed to nearly $950 billion, just shy of the $1 trillion his health plan is expected to cost.

The new proposals would mainly affect hospitals, which could trigger a backlash from the industry, notes the Times. The government would slow pay increases to hospitals, device manufacturers, and others that provide services to Medicare patients. It also would cut subsidies for dealing with the uninsured, whose ranks should dwindle, and reduce Medicare drug payments by asking pharmaceutical companies to “pay their fair share.” (More Barack Obama stories.)