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Where Do We Stand On The Health Care Debate?

Michael Ramirez, IBD Editorial

Michael Ramirez, IBD Editorial

I think it is time to go over where the Democrats (because Republicans are just on the fringes of this debate) are on a plan to reform the United States Health Care System:

1.  The Democrats are still pushing a public option, though even moderate Democrats are pushing back on this.

2.  The costs are anywhere between $1.2 trillion and $2 trillion, unless you use extremely ridiculous calculations.

3.  So far, there are no cost controls in the bill whatsoever, and if anything, this bill reduces personal involvement in cost of care.

4.  No tort reform.

So there you have it.  Now, the specifics of the plan otherwise cover most, if not all, people in the country, will implement an individual mandate, will give tax credits to the poor, and likely will try to pay for it all with a massive tax increase that will have to tax people other than simply the rich.

Here are the major hurdles Obamacare is facing:

1.  There is a major, major hole in the cost structure.  I have said before, even with Democrats spinning like there is no tomorrow, the cost is around $1 Trillion  (I think it is double that, but I will leave that for another debate).

2. Democrats are frantically looking for more tax dollars, and failing.  Harry Reid put the brakes on taxing all health benefits (which frankly, was the most reasonable scenario) because the public is strongly against it.  They proposed a tax hike on rich Americans, which also appears to be going no where.  They are back to considering taxes on soft drinks…no, I am not kidding.  Below is what the House Democrats have in their bill:

The healthcare overhaul proposal offered Tuesday by U.S. House of Representatives’ Democrats will include an extra 5.4% tax on those earning more than $1 million.

One congressional aide said that would bring the top tax rate for the wealthy to 45%.

An additional tax of 1% would be levied on those couples earning more than $350,000. Those with $500,000 incomes would pay an extra 1.5%, according to the legislative documents. Increases could be triggered in 2013 to 2.0% and 3.0%, respectively. The millionaires’ tax would remain at 5.4%, according to legislative documents.

3.  Democrats still refuse to discuss malpractice reform, which is an essential component.  Doctor groups, including the AMA, are placing ever increasing pressure, for obvious reasons.  Even some liberal commentators have come to our side on this.

4.  Moderate Democrats are backing away…quickly.  Although Sen. Max Baucus wanted to finalize a bill by this month, it seems unlikely that any bill will be finalized before September, with a large looming question of when it would be voted on.  Every day closer to November 2010, the less likely that anything will get done.

5.  And no one anywhere is willing to discuss the keystone…that rationing, in some manner or another, will be needed if all Americans wish to be covered by universal healthcare, because the fact of the matter is, there is simply not enough money to go around.

Maybe here is the most important fact:  Rasmussen reports that 49% oppose universal health care, and 46% oppose the system.

So where to now?

Clearly the Senate remains the biggest hurdle.  There are several moderate Democrats that remain wary of any major tax increases, and without those increases, the mountain of debt accrued over the next 10 years is something Democrats don’t want to own.  Additionally, the concept of using reconciliation to avoid a filibuster in the Senate looks to be dead.

The shocking thing this week was that moderates in the House, especially Blue Dog Democrats, were resistant to the huge tax increases proposed by the liberal wing of the Democratic caucus this week.  It is uncertain whether Pelosi will bwe able to pass sucha huge tax cut 12 months before the next round of elections.

Every day, with bad news arriving on the economic front, the mountain to climb for universal health care grows.  Obama has failed on this issue, simply because he has not really entered the debate.  He has tried to stay above the fray, without getting into specifics.  Unfortunately, in a bill such as this, the specifics are what matters.  And Obama so far is unwilling to take that next step, probably because of the immense cost in political capital that he will have to pay.

Ste ven Crowder has an excellent Youtube video that clearly shows some of the problems with universal care.


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7 comments to Where Do We Stand On The Health Care Debate?

  • Cliff

    I wonder what the “Obama Libs” are now thinking?
    His “change” is NOT something we can afford.
    Bet many are having second thoughts but…unfortunately it is too late.
    Now, WE ALL WILL SUFFER FOREVER!

  • jacksmith

    AMERICA’S NATIONAL HEALTHCARE EMERGENCY!

    It’s official. America and the World are now in a GLOBAL PANDEMIC. A World EPIDEMIC with potential catastrophic consequences for ALL of the American people. The first PANDEMIC in 41 years. And WE THE PEOPLE OF THE UNITED STATES will have to face this PANDEMIC with the 37th worst quality of healthcare in the developed World.

    STAND READY AMERICA TO SEIZE CONTROL OF YOUR NATIONAL HEALTHCARE SYSTEM.

    We spend over twice as much of our GDP on healthcare as any other country in the World. And Individual American spend about ten times as much out of pocket on healthcare as any other people in the World. All because of GREED! And the PRIVATE FOR PROFIT healthcare system in America.

    And while all this is going on, some members of congress seem mostly concern about how to protect the corporate PROFITS! of our GREED DRIVEN, PRIVATE FOR PROFIT NATIONAL DISGRACE. A PRIVATE FOR PROFIT DISGRACE that is in fact, totally valueless to the public health. And a detriment to national security, public safety, and the public health.

    Progressive democrats the Tri-Caucus and others should stand firm in their demand for a robust government-run public option for all Americans, with all of the minimum requirements progressive democrats demanded. If congress can not pass a robust public option with at least 51 votes and all robust minimum requirements, congress should immediately move to scrap healthcare reform and request that President Obama declare a state of NATIONAL HEALTHCARE EMERGENCY! Seizing and replacing all PRIVATE FOR PROFIT health insurance plans with the immediate implementation of National Healthcare for all Americans under the provisions of HR676 (A Single-payer National Healthcare Plan For All).

    Coverage can begin immediately through our current medicare system. With immediate expansion through recruitment of displaced workers from the canceled private sector insurance industry. Funding can also begin immediately by substitution of payroll deductions for private insurance plans with payroll deductions for the national healthcare plan. This is what the vast majority of the American people want. And this is what all objective experts unanimously agree would be the best, and most cost effective for the American people and our economy.

    In Mexico on average people who received medical care for A-H1N1 (Swine Flu) with in 3 days survived. People who did not receive medical care until 7 days or more died. This has been the same results in the US. But 50 million Americans don’t even have any healthcare coverage. And at least 200 million of you with insurance could not get in to see your private insurance plans doctors in 2 or 3 days, even if your life depended on it. WHICH IT DOES!

    If President Obama has to declare a NATIONAL STATE OF EMERGENCY to rescue the American people from our healthcare crisis, he will need all the sustained support you can give him. STICK WITH HIM! He’s doing a brilliant job.

    THIS IS THE BIG ONE!

    THE BATTLE OF GOOD Vs EVIL!

    Join the fight.

    Contact congress and your representatives NOW! AND SPREAD THE WORD!

    (http://action.firedoglake.com/page/s/publicoption) (http://www.actblue.com/page/healthcareheroes)

    God Bless You

    Jacksmith – WORKING CLASS

  • James Zimmer

    With the influx of poor economic news the time has come for a more drastic measure: Cutting Government payroll. The burden of finance needs to be shifted. Though population grows the costs and frivolity of spending by government on all levels needs to be seriously contained. This goes stright down to the local governments and in particular the school systems. There is an inordinate burden of financing the retirement of public employees. Healthcare is one of the many charges that they incur.

    Healthcare is important and is a critical concern for most people. However, care is available now under the present system even for the uninsured.

    Illegals should be deported and their native country charged for care given to make them well. This would cause an incentive to keep them home until they can come here legally. I have no problem with people who folow the laws that hit tough times here that are from other countries. However, if the people that are here illegally can break the law and receive benefits then why should I obey the laws?!?

    Government needs to be scaled back and the sweetheart deals for Congress, Senate and even the President need to be curtailed.

    Many agencies and programs have outlasted their usefulness and some are quite detrimental to our economy. Details for another day.

    Tort reform. Lawyers and the lottery ticket lawsuits have to be put in line. Yes, there are times there are blatant malpractice issues but not to the degrees that people litigate in this country.

    This is where we should start… but we won’t. We have Maobama.

  • Les

    I believe that the health care reform should be paid by the same people paying for everything else. The poor, the sick and the elderly. After all, this is America!

  • Health care reform must be a shared cost. Rich will have to pay more. But if you don’t force others to pay, then it is free…and nothing is as expensive as a ‘free’ program.

  • Gman

    http://opinionator.blogs.nytimes.com/2009/08/07/weekend-opinionator-a-sick-debate/

    August 7, 2009, 8:13 pm
    Weekend Opinionator: A Sick Debate
    By Tobin Harshaw

    Comments:
    12. August 8, 2009 1:57 am
    I have lived in Europe, the USA (NYC and FLA) and currently live in Canada. I am a reasonably well-informed financial executive. I make my living as a capitalist.

    I wouldn’t know where to begin re: the health care debate but I will make a couple of observations:

    1. The USA has the finest health care in the world — bar none — provided that you have a no-limit gilt-edged money is no object health plan. Or you are rich. In my experience the 2 go hand in hand.

    Failing such insurance or such boundless wealth how any rational human being with an IQ over 75 and an income below, say, $250k (forget the social compassion argument) could defend the existing system is beyond comprehension.

    2. The outright lies — yes lies — that critics of health care reform spew is disturbing. The intentional misrepresentation of the Canadian and European models is outrageous. The Canadian model is flawed. There needs to be greater access to ‘private-delivery’ alternatives (which currently exist in some fields.) Having said that, since I returned to the province of Ontario in the late 1990’s until now the improvement in standards and care is staggering and in most cases matches anything I witnessed or experienced in NYC. Yes, health care is rationed here (hence a need for ancillary private care) but it is rationed everywhere — including the US. The exception being as per point #1 above. Per capita Ontario spends approximately 65% of what the consumers/taxpayers of the US/NY spend. However Ontario delivers 90% — or more — of the US standard. That is one very big financial/efficiency/productivity gap. That money gap goes to the US insurance companies, doctors, malpractice lawyers and lobbyists. The common canard about Canada etc is that “faceless bureaucrats make life or death decisions” (as opposed to, say, faceless HMO clerks). The truth is that in Canada the ‘gatekeepers’ who allocate critical care are the physicians themselves — the specialists.

    3. Aside from private-payment plastic surgeons it is true you will not see many doctors in Canada driving a Rolls Royce. But you will see an awful lot driving a Benz or a Jag. Doctors here work hard and are well compensated. What we lack here is the concept that a medical degree should be attributed Venture Capitalist returns.

    4. Lastly, a general observation/question (again, I really am a capitalist). Why is it that in the USA (a country I genuinely love) millions of people who barely make a living or are working class and/or just holding on to the ‘middle class’ are the most vocal — hysterical wouldn’t be an exaggeration — in defending the privileges of the rich and the corporate? Against their own self-interest I might add. Anywhere else in the western world the existing US health care tyranny would have people in the streets demanding reform — not ‘debating’ it.

    — jon c

  • Actually, doctors in Canada make similar money as doctors here. It is false to think we make a lot more here. But there are many fewer doctors per the population than there are in the U.S.