Anyone who is paying for commercial insurance is subsidizing Medicare and also Medicaid as well as the uninsured. Medicare does have the power to set prices since there are a number of commercial payors that will set their contract at x% above Medicare… aka, they’re using Medicare as a base. Beyond just straight up prices, if Medicare decides something isn’t covered, or changes the way they will pay something, ,a lot of payors will follow suit, just a matter of time.
There are and have been several health systems / hospitals, that went bankrupt and closed. It’s not ultra rare. It does happen.