Final answer:
Federal legislation created Medicaid in 1965 as part of Lyndon Johnson's Great Society, to provide health insurance for low-income Americans. It is jointly administered by states and the federal government with varying coverage based on state-determined eligibility and benefits.
Step-by-step explanation:
Medicaid was created by Congress in 1965 as part of President Lyndon Johnson's Great Society initiatives. This program is a federal-state partnership providing health insurance to low-income Americans, including families with children, the elderly, and people with disabilities. States have the flexibility to administer the program, determine the benefits, and set eligibility requirements, causing the program to differ from state to state.
Significant proportions of the Medicaid budget go towards assisting low-income mothers with children and covering nursing home costs for the older population who cannot afford it. The federal government provides significant funding, but the joint nature of Medicaid encourages state involvement and results in a varied implementation across the country.