Days of Change

Why the Democrats are Geniuses | June 25, 2017

If you are a moderate Republican, a conservative or a Trump supporter, the one thing you probably haven’t heard enough about Obamacare is that it is not only failing, it never worked in the first place. I’ve written that we would be better off with what came before Obamacare than anything in the ACA. Unfortunately, the current “repeal” bill is a plan to maintain the costs of Obamacare with the promise of letting the market decide someday in the future.

Jonathan Gruber pitched a “deficit” neutral plan to a CBO that had no tools to calculate the interest level of people who would buy insurance on an open marketplace. He made assumptions not unlike the statisticians who calculated that mortgages would not default in the late 2000’s. Besides the lies, Democrats really thought they could compel all Americans to buy health insurance or go on Medicaid.

Not only has it not worked, Obamacare has only existed for 3 years. Why extend a bad program for longer than the program has been used? The Democrats delivered a broken-down lemon that didn’t run and the Republicans are trying to restore it to mint condition.

That’s the evil genius of what the Democrats have done. First, they created the idea that “coverage” was equivalent to wellness. Coverage is a requirement for universal adoption and we all know universal is code for socialized medicine. They could have gotten near full acceptance if they enacted a $10,000 penalty, but people would have ended up in jail and the Democrats would have created the biggest tax increase in history. So, Plan B was to put as many people on Medicaid as possible and Republican governors went along with it in many cases.

Now we have the death spiral. Insurance companies were sold on mandatory insurance purchases. Instead, people who bought insurance were planning to use it early and often. Premiums went up and companies that could not make a profit dropped out. People with no money got Medicaid through the “expansion” that still costs states who agreed to it. The Democrats and Republicans are trying to stave off death by putting money into Medicaid and the insurance companies about to drop out of exchanges.

It costs $7,000 per man, woman and child per year to maintain what is ultimately not a good medical system in this country. That is already unsustainable. The people who are “covered” by their employers are being put on plans that are good if they are really sick, but can cost thousands of dollars in co-pays if they are only kind of sick.

In the ultimately irony, Democrats are already stating that Obamacare is “not perfect.” Their solution, however, is the same. Tax more and put more money into subsidies. In reality, it means borrow more. At the same time, costs are only rising. Now, even the president thinks that getting people insurance is the right things to do because the alternative is too hard. Give the freebies first, and hand out the bill later. It’s a Democratic Party tradition for almost 90 years.


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    June 2017
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