How did the Balanced Budget Act of 1997 affect Medicare?

The Balanced Budget Act of 1997 had a significant impact on Medicare, as it reduced the growth of spending on the program by limiting payments to healthcare providers and introducing new cost-sharing measures for beneficiaries. The Act also established the Medicare+Choice program, which allowed beneficiaries to choose between traditional fee-for-service Medicare and private managed care plans. While the Act was intended to improve the financial sustainability of Medicare, it also led to criticisms that it reduced access to care for some beneficiaries and created financial hardships for healthcare providers.