Article: Methodological Biases in Estimating the Burden of Out-of-Pocket Expenses.

In a recent issue of Health Services Research, Gross, Alecxih, Gibson, et al. (1999) (hereafter referred to as Gross et al.) argued that out-of-pocket health care expenses impose a substantial burden on the elderly, especially the poor elderly. They find that the elderly spend 19 percent of their income on medical care and, more importantly, that the average share rises to 35 percent for the poor elderly. Their estimates are based on simulations from the 1993 Medicare Current Beneficiary Survey (MCBS) but are similar to estimates by Moon, Kuntz, and Pounder (1996) from the 1987 National Medical Expenditure Survey using the same methodology. Gross et al. conclude from these ...

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