States would save money by accepting the Medicaid expansion in President Obama's healthcare law, according to a new study. The research, published in the journal Health Affairs, said states that reject the Medicaid expansion will end up paying more for healthcare coverage than states that participate — and covering far fewer people. Together, 14 states that have rejected the expansion will spend $1 billion more on uncompensated care than they would under the expansion, and they'll lose out on $8.4 billion in federal payments, researchers from the Rand Corporation said.