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Emergency space over utilization is among the leading factors behind today’s increasing healthcare costs. A lot of the patients observed in emergency rooms over the country are Medicaid recipients, for non-emergent reasons. The government initiated Medicaid Managed Treatment programs to provide better healthcare delivery, compensate providers and reduce health care costs adequately. Has Medicaid Managed Care addressed the problems and solved the problem? The answer is ‘Yes’ and ‘No’. Through the entire early 1980’s and 1990’s the Federal government Medicaid plan was challenged by quickly rising Medicaid system costs and a growing number of uninsured populace. Among the primary reasons for the entire upsurge in healthcare costs may be the over usage of hospital emergency rooms. That is the result of devoid of a primary care doctor and/or doctor who is the primary way to obtain healthcare delivery for a person and/or entire family The original Medicaid program will not offer, or need, recipients to select a primary care doctor like, its counterpart, Medicare. Medicare still operates beneath the traditional fee-for-support methodology and will not require beneficiaries to recognize and primary provider and also having immediate access to specialty services. This enables a cost sharing strategy which effects in higher out-of-pocket expenses and will not cover medication or prescription benefits. In order to offer better healthcare solutions and access in addition to reduce costs the government allowed the States to carefully turn to managed treatment and proposed a mandatory statewide execution for the Medicaid human population. To make major adjustments like these, states need to ask for waivers of Medicaid regulatio...