This chapter reviews the structure of the Medicaid program and its economic impact. Section 1.1 begins by reviewing the program's history, and discussing the evolution and current structure of program rules. Section 1.2 then turns to a more detailed discussion of the program as it currently exists, presenting a variety of statistics on enrollment and expenditures. Section 1.3 provides a heuristic overview of the economic impacts of the Medicaid program, and Section 1.4 reviews the large empirical literature on the Medicaid program and its impacts on health care utilization, health, labor supply, family structure, and other behaviors. Section 1.5 discusses current policy issues and how they are informed (or not informed) by the existing literature, and Section 1.6 concludes.
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