Health reform implementation

Commerce: O-Care boosts personal income, consumer spending

The Affordable Care Act contributed to a rise in personal income and consumer spending in January, according to a report released Monday by the Department of Commerce.

{mosads}The report found that personal income rose .3 percent in January, after remaining flat in December. The bulk of the increase came from $19.2 billion in expanded Medicaid benefits, and $14.7 billion in ObamaCare-related tax credits and premium subsidies.

The healthcare law also contributed to the .4 percent rise in consumer spending for January. Increased demand for healthcare services led to an additional $29 billion in spending for the month, the Bureau of Economic Analysis found.

The report is based on preliminary data provided by the government and ObamaCare exchanges.