inee fish shentd it can be. rahm emanuel lowered recycling costs by causing competition between government workers and private workers. he allowed the public employees and private sector to compete against each other. in chicago mayor emanuel broke up the city into different zones and kept the public sector with some of them and bid out the recycling in other parts. you had a real world competitive test game. what happened is again competition just by bringing in the private sector the public employees realized they were going to have to step up their game because that is encroachment in their turf so to speak. what happened? over six months they saved $2 million after just the first six months. this is reported by the mayor s office and they reduced the overall cost by 35 percent over a six-months period. that prompted the administration to decide to look at other opportunities to apply that managed competition model. this is happening all over
sector can be. john: from the manual the mayor of chicago llord recycling costs by allowing competition. key allowed them to compete to guess each other. he broke into this city into different sounds he kept the public sector and that out other parts so you had a real world competitive test case. competition just by bringing in the private sector the public employees realized they had to step up their game because there was encroachment into their turf for over six months they saved $2 million coming straight from the merck board from the mayor s office and reduced overall cost 35 percent over six months so that prompted the administration to look at other opportunities to have a managed competition model.
under the bus every chance you get. it s putti inting forth things work. for sustainable change, the community must be engaged. they will fight tooth and nail to ensure it stays there. it s not about competition. we use that competition model, we forget we don t want some kids to have and others not or some schools to go out of business. it s a collaboration model. thank you for the seriousness of that insight. first, it is time for a preview of weekends with alex witt but that s t.j. holmes. good morning. the discussion you are having this morning and another topic you have taken up plenty of times, the income inequality, the president talked about that. we will hit on that and see if he can do something about poverty in his second term. this is an idea you can get on board with, melissa, no budget,
competition drives it we see that in medicare part d. passed in 2003. there are two competing plans, a government-run prescription drug benefit for seniors offered by the democrats. cbo scored it at $850 billion for the first ten years. and a competition model that said we are not going to set the price. the government is going to allow people to compete for your business and the cbo scored that at $450 billion for the first ten years. three bad things happened. more people signed up when the republican bill passed. more people signed up than were anticipated. they signed up quicker than anticipated and they used it more. the so-called utilization rate was higher. at the heart of it was competition. and at the end of the first 10 years, the estimated cost now is not $450 billion but $300 billion. why? because competition drove prices down. seniors also have reflected in monthly premium. the estimated mobilely premium was $35 a month when the program started but it actually turned out t
passed in 2003. there are two competing plans, a government-run prescription drug benefit for seniors offered by the democrats. cbo scored it at $850 billion for the first ten years. and a competition model that said we are not going to set the price. the government is going to allow people to compete for your business and the cbo scored that at $450 billion for the first ten years. three bad things happened. more people signed up when the republican bill passed. more people signed up than were anticipated. they signed up quicker than anticipated and they used it more. the so-called utilization rate was higher. at the heart of it was competition. and at the end of the first 10 years, the estimated cost now is not $450 billion but $300 billion. why? because competition drove prices down. seniors also have reflected in monthly premium. the estimated mobilely premium was $35 a month when the program started but it actually turned out to be $25 a month. bill: nobody is arguing competitio