Tag Archives: Obamacare

How well is Obamacare working, and will Ted Cruz or Donald Trump fix health care?

Obamacare Bronze plans: and don't forget the $6850 deductibles
Obamacare Bronze plans

Two stories, then we’ll see whether Trump or Cruz is more likely to repeal Obamacare.

The Daily Signal lists 4 problems with Obamacare:

  1. Rising Costs
  2. Higher Taxes
  3. Unstable Enrollment
  4. Hostility to Personal Liberty

Let’s look at the first two:

Rising Costs

Contrary to repeated administration promises, Obamacare has not only failed to lower costs, but has also imposed additional expenses on millions of already over-stretched individuals and families.

Premiums in the government created exchanges were an initially jolting experience for Americans who did not qualify for taxpayer subsidies, and it appears that in 2016 premium increases in the government’s health insurance exchanges will again hit enrollees in the double digit range.

When it comes to average job-based premiums, the Congressional Budget Office (CBO) says that they, too, are climbing, and will rise almost 60 percent between now and 2025. Deductibles in the Affordable Care Act exchanges have also jumped higher than officials anticipated, discouraging the purchase of the Obamacare coverage among the poor and the young.

[…]Today, based on CBO data, the net cost of Obamacare’s coverage provisions—subtracting the taxes and penalties—will amount to over $1.4 trillion over the next ten years.

Higher Taxes

Obama promised he would not raise taxes on the middle-class. But Congressional Budget Office data indicates that Obamacare’s numerous taxes, fees, and penalties will cost about $832 billion over the years 2016 – 2025. And middle-class Americans are going to be hit—directly and indirectly.

Even lower-income workers will get hit by Obamacare taxes, including the so-called Cadillac tax on expensive health plans offered by large firms, as well as the individual mandate tax penalty.

For 2016, that mandate tax penalty for a single adult is $695 and up to $2,085 for a family.

We also need to remember how many companies took their employees off of the full-time work week to keep them below the 30 hours, so that they wouldn’t have to buy them this expensive health care with all the new minimum coverages (drug addiction therapy coverage is mandatory now?) that raised the price of health care insurance premiums.

But there’s more than just more government spending, higher premiums, higher deductibles and higher tax penalties for those who opt out of the individual mandate. There’s also the regulation side of things. Doctors are now being regulated by the government to the point where they are dropping out of the field. And there are fewer people who want to become doctors, because of the regulations.

Primary care doctor shortage
Primary care doctor shortage

So, how do we fix it? Well, one person who will not fix it is Donald Trump. Trump isn’t aware of any of the problems with Obamacare – he wants to expand government control of health care. Make it cover more people, for more mandated coverages (toupees, wigs, Viagra, hair replacement surgery?)

When government pays for all the health care provisioning, we call that a single-payer system. And Trump is for it – that clip is from September 27, 2015. In the Fox News debate in August, he said that single payer health care “works in Canada“.

Do you think more government-control of health care will make things better? Look at how things are going in the single-payer system for our armed forces veterans in the VA single-payer system – they are dying while bureaucrats collect fat bonuses for concealing the waiting lists. Just as in Canada and the UK, the patients are dying on waiting lists while waiting for care. They pay into the Trump health care system their whole lives, then when they are old and of no use to the government, they are denied care and left to die.

Single-payer health care wait times in Canada
Single-payer health care wait times in Canada

How much do Canadians pay in taxes, in order to wait on waiting lists for the government to decide to give them health care?

This Toronto Sun article explains:

Canadians retain just 21% of their income after paying the taxman and covering the cost of necessities, according to a Fraser Institute study.

Taxes gobble up a whopping 42% of the average Canadian family’s income. About 37% of income goes to cover housing, food and clothing.

“We’ve found … that over the last five decades or so, the tax bill for the average Canadian family has grown dramatically,” said study coauthor Charles Lammam.

Well, what about Ted Cruz? Has he got any sort of plan for Obamacare and consumer-centered health care reform?

Ted Cruz

Yes, he’s going to repeal Obamacare on day one, and then work to replace it with this:

Main points:

Ted Cruz's health care plan: choice and competition
Ted Cruz’s health care plan: choice and competition

Cruz explains it himself here:

At the eighth Republican presidential primary debate on February 6, 2016, Ted Cruz discussed repealing Obamacare: “Socialized medicine is a disaster. It does not work. If you look at the countries that have imposed socialized medicine, that have put the government in charge of providing medicine, what inevitably happens is rationing. … If I’m elected president, we will repeal every word of Obamacare. And once we do that, we will adopt common sense reforms, number one, we’ll allow people to purchase health insurance across state lines that will drive down prices and expand the availability of low cost catastrophic insurance. We’ll expand health savings accounts; and we will de-link health insurance from employment so that you don’t lose your health insurance when you lose your job, and that way health insurance can be personal, portable and affordable and we keep government from getting in between us and our doctors.”

Those of you who like to read consumer-centered health care policy scholars like me (Sally C. Pipes, Regina Herzlinger, Michael D. Tanner, Michael F. Cannon, John C. Goodman, Ilya Shapiro, Avik Roy, etc.) will recognize a lot of what he is proposing – he stole it all from the conservative and libertarian policy experts.

To me, that sounds better than Trump’s plan of expanding government-run health care into universal government-run health care. If I wanted that, I’d go to Canada or the UK, and just die on a waiting list after paying 42% of my salary into the system for my whole working life.

ABC, CBS and NBC silent about bill that repeals Obamacare and defunds Planned Parenthood

Barack Obama and Planned Parenthood
Barack Obama and Planned Parenthood

Life News reports about an astonishing story of left-wing media bias in the mainstream media. (H/T Mary from Marin)

Excerpt:

On Wednesday night, the major network evening newscasts all failed to cover the first full,successful Congressional vote to repeal of ObamaCare and defund of Planned Parenthood that will go to President Obama’s desk where he’ll likely veto the measures seeking to undo his health care law and strike federal funding from the nation’s largest provider of abortions.

Despite the final vote in the House coming late in the afternoon, ABC’s World News Tonight, the CBS Evening News, and NBC Nightly News chose not to even muster a news brief informing their viewers of this action by the Republican-led Congress (with the Senate vote coming via reconciliation).

Providing a more balanced contrast, FNC’s Special Report had a full segment with host Bret Baier and chief congressional correspondent Mike Emanuel live on Capitol Hill providing the details.

Baier returned from commercial break by noting that “Republicans are making history and making their point with their latest attempt to overturn the President’s health care law, but they still are not actually successfully repealing ObamaCare.”

Emanuel mentioned that the House vote was 240-181 and while “House lawmakers have voted dozens of times to repeal ObamaCare,” all the previous attempts ended because “Senate Democrats have successfully filibustered the measures.”

The FNC correspondent then explained how the legislation passed the Senate and that it also included language to defund Planned Parenthood: “But this time, the Senate used a procedure known as reconciliation to pass this bill. House leaders noted it would strip federal funding for Planned Parenthood and force the President to defend his signature law.”

After soundbites from House Majority Leader Kevin McCarthy and Speaker Paul Ryan, Emanuel ruled that Republicans “recognize the President will veto the bill and they’re not expected to have the votes to override it” as Speaker Ryan has instead “urg[ed] his colleagues to come up with an ObamaCare alternative to provide a contrast.”

Instead of highlighting this story, ABC and NBC both devoted full stories to hyping the $500 million PowerBall jackpot set to be drawn late Wednesday night.

I am personally not a fan of Fox News, but there are two exceptions. Special Report with Bret Baier and Fox News Sunday with Chris Wallace. The bipartisan panels on those shows is worth the time to watch it. But the main thing I want to say about this story is about the mainstream media’s silence. When you look in the mainstream media, you will not find any pro-life voices there. And this is despite the fact that half the country is pro-life. I just think it’s important for us to not sit there in front of the television and absorb the values of these carefully coifed and made-up “journalists”. They are there to promote secular leftism, and nothing more. So be critical when you watch.

New study: Obamacare will decrease workforce by 2 million full-time worker’s hours

He voted for Obamacare, and he got it

He voted for Obamacare, and he got it… good and hard!

The study was done by the non-partisan Congressional Budget Office (CBO), and reported by Fox News.

Excerpt:

ObamaCare will reduce work hours equivalent to 2 million jobs in the next decade amid a host of incentives not to work or to work less, a new Congressional Budget Office (CBO) report says — the latest blow to President Obama’s signature health insurance plan.

The report estimates the Affordable Care Act, or ACA, will make the labor supply shrink by 0.86 percent in 2025. This amounts to a shrinkage equivalent to approximately 2 million full-time workers.

The nonpartisan CBO estimates that the decline will come primarily due to workers responding to changes made by the law to federal programs and tax policy. The agency points to the introduction of health care subsidies tied to income as a key factor — which in turn raises effective tax rates as someone’s earnings rise, therefore reducing the amount of work Americans choose to do.

“Subsidies decline as income increases, reducing the return on earning additional income,” the report says. “That decline is effectively an increase in recipients’ effective marginal tax rate, so it generally reduces their work incentives through the substitution effect.”

Since the subsidies also reduce the burdens attached to unemployment, the CBO predicts that the law will create additional “work disincentives” for those who are unemployed for part of the year. It concludes that the exchange subsidies will contribute to half of the overall reduction of the labor supply.

The report also points to direct taxes, such as ACA’s hike of the payroll tax on high earners for Medicare’s Hospital Insurance Program, as a reason for discouraging some from working. Another pressure on wages will come from the employer mandate, which imposes a penalty on employers if they have more than 50 employees and do not provide insurance. The CBO predicts that within a few years this charge will be passed on to employees in the form of lower wages.

[…]The report comes at an awkward time for the Obama administration: just days after the Senate passed a bill that would repeal key parts of the law. The White House has said that President Obama will veto the legislation.

Oh well. It’s not like workers need to be paid fairly for their labor, right? I’m really not seeing how Obama expects the next generation to pay for the $10 trillion he’s added onto the national debt. If they are working less, then they are paying less in taxes. It’s fun to give speeches where you promise your gullible supporters a lot of goodies, but then, if the goodies discourage their employers from giving them work hours, then how will the spending be paid for?

More than anyone in modern politics, Barack Obama is a man who has perfected the art of sounding confident about things he literally knows nothing about. When elect a clown, you get failure. It doesn’t matter how confident a candidate sounds. It matters whether he has a record of solving the problems that he is talking about. Results, not rhetoric.