White House says states without Medicaid expansion are suffering

The White House issued a report Wednesday detailing what it says are harmful economic consequences for Republican-led states that haven’t expanded Medicaid rolls under Obamacare.

The report, from the White House council of economic advisers, said the 24 states that haven’t accepted Medicaid expansion will deprive 5.7 million people of health-care coverage by 2016. It said the decisions in those states will have “far-reaching” implications for their economies.

“States that fail to expand Medicaid are also passing up billions of federal dollars that could boost their economies today,” the report said, adding that expanding medical coverage would boost demand for various goods and services by relieving families of out-of-pocket costs.

In the 26 states and the District of Columbia where Medicaid has been expanded under Obamacare, 5.2 million people have gained coverage, the report stated.

The analysis is based on “the best evidence from the economics and health policy literatures” and “is necessarily an imperfect guide to the future,” the White House said. But the report said the evidence is clear that failing to accept Medicaid expansion will harm states’ economic condition.