Paying for Prescription Drug Coverage

The House is set to pass a Republican prescription drug coverage plan this week. Not to be outdone, the Democrats are fast following with a plan of their own.

Though the plans differ on key points such as maximum annual expenditure seniors would lay out and what fraction of seniors would receive full coverage, both plans are expensive. The GOP bill is expected to cost $350 billion, and the Democratic bill, $500 billion.

This hour, the hows and whys of paying for prescription drug coverage. Where's the money going to come from? With prescription drug prices rising approximately 15% per year, will the government be able to keep up with skyrocketing costs? Should the government even be involved?

Guests:

Kirsten Sloan, Acting Coordinator for Health Issues at the American Association of Retired Persons (AARP) Department of Federal Affairs

Tom Miller, Director of Health Policy Studies at the Cato Institute