United Press International: Analysis: GOP blinks in Medicare standoff: "If the FFS costs turn out to be higher than the plans, seniors would pay more in premiums. If so, it would be the first time the government would limit in some way what it spends on Medicare. Critics say such a change could destroy the FFS program and force seniors into the managed care arm.
Meanwhile, Democrats have not blinked even once. They have denounced -- vociferously, adamantly and even angrily -- privatization from the day the House bill passed in June. For the Democrats, this is a deal breaker and potentially dooms any bill coming out of the conference committee, especially in the Senate, which did not include privatization language in its bill.
It is basic party politics: Democrats want to keep Medicare an open-ended entitlement for all seniors, while Republicans want to limit government spending. It has been an issue since 1965 when the Medicare bill passed and it has perpetuated a battle every year since."