Medicare

You might have missed the part about the penis pumps. It was in a New York Times article about Medicare overpaying for things like oxygen tanks. Apparently Medicare, despite its potentially enormous bargaining power, spends more for many items than they would cost in your neighborhood pharmacy or surgical supply store. In the midst of the article is this paragraph:

For example, last year Medicare spent more than $21 million on pumps to help older and disabled men attain erections, paying about $450 for the same device that is available online for as little as $108. Even for a simple walking cane, which can be purchased online for about $11, the government pays $20, according to government data.