The Treasury Department's general fund subsidizes Medicare by anamount equal to about 1.3 percent of GDP, a large but manageablesum and an apparently sustainable level of support. It faces excesscosts of $85.6 trillion. Medicare reform needs a clear goal forsustainability. Eliminating all of Medicare's excess costs might beideal, but that would be more than is necessary to achievesustainability.
On April 1, 2009, Congressman Paul Ryan (R-WI), the rankingRepublican on the House Budget Committee, introduced the HouseRepublican Budget Alternative to budget initiatives of the HouseDemocrats and President Barack Obama.