Obamacare Exemplifies the Problem with Liberal Legislation
I just got a letter in the mail from Oxford. They are writing to let me know my company's premiums are going up by 15.5% in the next cycle. It got me thinking about the whole way Obamacare was sold to the American people. Remember when Obama said that his healthplan would reduce premiums on family plans by an average of $2500 per family? How it would lower overall healthcare costs?
It was all smoke and mirrors and its framers knew it. When you sift through the garbage and distractions it all comes down to basic math. Here is the deal. We currently have 60 Million citizens (I hope they are citizens???) on Medicaid(http://www.medicaid.gov/index.html). That equals approximately 18% of the population or "the bottom 18%" of income earners. The approximate income threshold The range for individuals is typically $600-$800 and $1,000-$1,350 for couples (http://radix09.hubpages.com/hub/Medi...-Income-Limits). For the CHIP program (part of medicaid that covers children) the income thresholds are higher starting around $3000 per month for families and going up from there based on the number of children.
That is the baseline. There are approximately 25Million Americans today that don't have health insurance. This group obviously earns above the medicaid cutoff thresholds. In essence Obamacare shifts those people on to Medicaid effectively raising the thresholds to cover more people. Under Obamacare approximately 27% of Americans will get Medicaid up from 18%. That's it in a nutshel. It also subsidizes even more people with reduced cost coverage though the full scope of those numbers is not yet known.
Now in addition it is important to understand that 45 Million Americans are on Medicare. 45 Million Americans represent approximately 13% of the population. Add that to the Medicaid numbers and we have 40% of Americans recieving Government Medical Insurance in one form or another.
In its essence all Obamcare does is add more folks to the Government Free Insurance Plan. That's it. Yet it was sold as something that would drive down the cost of insurance? How does adding 30 Million people to Medicaid reduce the cost of insurance? Many of those 30Million are healthy younger people that choose not to buy insurance because its too damn expensive. Now Government giving them free insurance will drive down the costs? It is absurd.
To the peoples credit I don't think many people were stupid enough to believe what Obama was spewing on this one. When you break it down the math isn't that confusing. Even Democrats must have understood this so the question is: Why did they sell a plan that, at its core simply adds 30 Million people to Medicare, as something that would reduce the cost of insurance? The premise defies logic. Of course we know Obamacare carries a slew of new taxes carefully crafted to hit only long after the program is in full swing negating the ability to cancel it once people feel the hits to their wallets. Even with that according to recent estimates this program is in the hole for 2 trillion over the next 10 years and even larger holes in subsequent years. New taxes will need to be raised to cover those deficits. Considering we already are looking at 7-8 trillion deficits without Obamacare over the next 10 the additional 2 or 3 will just broaden the pain. Where will the money come from? Certainly not the 100Million or so people on Government insurance. It will come from the rest of the people that already pay in. We would need to double tax rates across the board to all tax payers to cover this.
Here is my problem with the whole thing in a nutshell. Why not sell the plan for what it is? Obama could have said that he wants to expand coverage to 30 Million more people under medicaid. He could have said that the cost of insuring so many people will be high but its the (IHO) right thing to do. People could have voted on it. Are you willing to pay a bit more in taxes to help out some folks that might not be able to afford insurance on their own?
Instead the literally lied. Said that they were coming up with a plan to make insurance more affordable. They said it would not increase the deficit and that rates would go down for the average family by $2500. All lies. Worse then the fact that they lied is that it is quite obvious that they KNOWINGLY lied.
they sold us a bill of goods to advance their universal healthcare agenda because to Progressives the ends justify the means.