Which statement correctly distinguishes Medicare from Medicaid?

Explanation

Medicare is a federal program that primarily covers people age 65 and older (and certain younger people with disabilities or end-stage renal disease), regardless of income. Medicaid is a joint federal-state program that provides coverage based on financial need (low income and limited assets). Calling Medicare needs-based and state-funded while calling Medicaid age-based reverses the two programs. Neither is purely age-based without regard to income (Medicaid is means-tested), and neither is run by the Social Security Administration; the drug-only and hospital-only descriptions misstate both programs, since Medicare has multiple parts (A, B, C, D) covering hospital, medical, and drug benefits.