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Archive for Friday, January 7, 2011

Analysis: Health care repeal would increase deficit

January 7, 2011

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— Repealing President Barack Obama’s landmark health care overhaul would add billions to government red ink and leave millions without coverage, Congress’ nonpartisan budget referees said Thursday ahead of a politically charged vote in the House.

House Speaker John Boehner brushed off the Congressional Budget Office analysis as emboldened Republicans, now in the majority in the House, issued their own report arguing that Obama’s coverage expansion would cost jobs and increase budget deficits.

But Democrats seized on the CBO analysis, calling it a game changer in the battle for public opinion.

In a letter to Boehner, budget office director Douglas Elmendorf estimated repeal would increase the deficit by $230 billion from 2012 to 2021, the 10-year estimating period for budget projections. Moreover, Elmendorf said about 32 million more people would be uninsured in 2019 as a consequence.

But Boehner told reporters: “I do not believe that repealing the job-killing health care law will increase the deficit.”

The budget experts are “entitled to their opinion,” added Boehner, R-Ohio, saying that the analysts had to rely on information selectively supplied by Democrats who wrote the legislation. Not so, said the Democrats; adverse rulings by the budget office repeatedly forced them to go back and revise the bill as they were writing it.

The budget director’s verdict gave Democrats a new counterattack against Republicans elected on a promise to cut government debt. Until now, the main Democratic argument has been that repealing the law would eliminate benefits people are already receiving, from seniors facing high drug costs, to young adults who can stay on their parents’ coverage, to those in poor health who can now get insurance.

“We can’t afford to increase the deficit by nearly a quarter of a trillion dollars, especially with the very first substantive vote of the 112th Congress,” said Senate Finance Committee Chairman Max Baucus, D-Mont., one of the authors of the law.

“Republicans have to understand that health care isn’t going to be repealed,” said Senate Majority Leader Harry Reid, D-Nev. “They should get a new lease on life and talk about something else.” Reid has said he’ll block repeal in the Democratic-led Senate.

The White House issued a formal veto threat, saying the repeal bill “would explode the deficit, raise costs for the American people and businesses, deny an estimated 32 million people health insurance, and take us back to the days when insurers could deny, limit or drop coverage for any American.”

Republicans countered that even if it’s technically accurate that the health care law reduces deficits in the short run, a program that big is bound to bust the budget over the long term — and repealing it now will save money later.

The House has scheduled a procedural vote on repeal today, with final action next week.

Comments

Hoots 3 years, 3 months ago

Frontline did a segment on Obama Care and the bill was written by the insurance industry. We need real health care in the worst way in this country but once again we were sold out. If you want to see what really happened watch this. We ended up with 2400 pages of transfer or wealth. http://video.pbs.org/video/1468710007/

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Cait McKnelly 3 years, 3 months ago

If you want to argur over something try this; http://www.nytimes.com/2011/01/07/opinion/07krugman.html?_r=1

Texas, the GOP's own petrie dish for economics and politics, is going down the toilet. Who'da thunk it?

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Richard Heckler 3 years, 3 months ago

All told, then, tax dollars already pay for at least $1.2 trillion in annual U.S. health care expenses. Since federal, state, and local governments collected approximately $3.5 trillion in taxes of all kinds—income, sales, property, corporate—in 2006, that means that more than one third of the aggregate tax revenues collected in the United States that year went to pay for health care.

Recognizing these hidden costs that U.S. households pay for health care today makes it far easier to see how a universal single-payer system—with all of its obvious advantages—can cost most Americans less than the one we have today.

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Flap Doodle 3 years, 3 months ago

Since larryville cratered from the weight of the accumulated stupid over there, some posters have more time to spend on LJW.

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Richard Heckler 3 years, 3 months ago

Medicare money does a lot for all who seek health care...

Moreover, tax dollars also pay for critical elements of the health care system apart from direct care—Medicare funds much of the expensive equipment hospitals use, for instance, along with all medical residencies.

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George Lippencott 3 years, 3 months ago

The CBO does a good job. However, it must follow the rules. As part of the passage of Obama Care Medicare was reduced by $600 Billion without any reduction in services. If you repeal Obama Care that reduction dies - costs rise.

Do any of you believe that we were really going to take medical care away from seniors to give to you?? Do any of you really believe that Medicare FWA will be reduced to zero or at all? Do any of you really believe that we were going to cut the payments to doctors by that amount? This is an example of an article written by a "climber" to stir up issues that the author either did nor understand or deliberately ignored.

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gogoplata 3 years, 3 months ago

But at the same time. Health care repeal would increase freedom.

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jafs 3 years, 3 months ago

I'd be interested in how the CBO arrived at that conclusion.

And, if the Republicans don't think it's a credible source, then I assume they'll never use it in order to back up their claims again.

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Flap Doodle 3 years, 3 months ago

Internal combustion lawnmowers are ruining our health and killing the planet. They must be banned. Not doing that would be dumb and irresponsible!!!

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Richard Heckler 3 years, 3 months ago

"And homeowners insurance doesn't provide shelter." Nobody makes anyone buy a home that is a choice

"And car insurance does not provide transportation." Nobody makes anyone own a car that is a choice.

Once a person is a born health care is not a choice therefore must a right.

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none2 3 years, 3 months ago

FYI, a minor issue in the start of the article:

"WAASHINGTON"

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Tom Shewmon 3 years, 3 months ago

The Congressional Bungling Office never makes mistakes, do they? Half the time they'll come back and admit their numbers are off, too high--too low--whatever.

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Tom Shewmon 3 years, 3 months ago

And well whatya know!? Repubs take back the reins and already unemployment has dropped almost half a point! Employers already felt more confident after the mid-terms-----confident enough to start hiring again.

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Bob_Keeshan 3 years, 3 months ago

If Boehner thinks the CBO is just offering opinions, then how is the House ever going to pass a budget that cuts spending?

After all, the only backup for their legislation will be the CBO and clearly that is just an opinion.

For instance, yesterday the House was congratulating itself for cutting 5% from the Congressional budget. It sounds like that was just an opinion.

I'll offer up the opinion that they actually increased their budgets by 10% with their jobs killing legislation.

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Mike Ford 3 years, 3 months ago

the average joe doesn't know that Indians are mentioned in the commerce clause and with their anti-Indian behavoir, neither do the dumblicans. Dumblicans will do things that make no sense because many of their constituents make no sense. Go a hundred miles in any direction west of Lawrence and Topeka. You enter the sovereign republics of Dumistan, Churchistan, Gunistan, and Mayberryistan. Please don't show them the man behind the curtain...please....

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Tom Shewmon 3 years, 3 months ago

Any attempt to repeal O'Care must be taken as symbolic, at least for now. After America completes the mission of replacing the Current Regime (caps), then maybe something can be done. Heck, yesterday, Republicans put the left wing of the Dem party into a dither with the reading of the constitution. Dems don't want the Average Joe (caps) knowing what it says. It'll blow their cover.

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Richard Heckler 3 years, 3 months ago

The nation needs a more affordable insurance source. If health care will continue to escalate then we cannot afford escalating medical insurance industry premiums.

Nationalizing the industry across the board might well be another approach. Health care is not a choice necessarily. The human body demands health care therefore should not be treated as a retail item like a can of chili on a grocery shelf.

There are no free rides anywhere. Medicare has never been free.

Creating a system that allows 40 million more to somehow contribute to the insurance pie should reduce the cost for all. Fewer and fewer contributing to the current high dollar network means the fewer will be asked to pay more and more. Paying more and getting less.

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CorkyHundley 3 years, 3 months ago

Anybody and Everybody knows that if you add 30,000,000 people to anything, it will cost less merrill.

Always, and always for sure. Every system or organisation works better after at least, 30,000,000 people are added to it.

Just hope and change. Your free ride is out there somewhere.

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Paul R Getto 3 years, 3 months ago

Deep breaths, Merrill. We should be used to this by now. Everyone has a set of 'numbers' they like when discussing major legislation and its fiscal impact. It should be interesting to see which fictional accounts prevail, as no one can really predict economic behaviors and how they affect the economy years down the road. One thing is sure, however, health care costs will continue to rise and millions will seek coverage and won't get it.

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Richard Heckler 3 years, 3 months ago

Another reason to walk away from the medical insurance industry:

Bring on the FBI and the Grand Jury!!!

Thursday, June 25, 2009

Health insurers have forced consumers to pay billions of dollars in medical bills that the insurers themselves should have paid, according to a report released yesterday by the staff of the Senate Commerce Committee.

The report was part of a multi-pronged assault on the credibility of private insurers by Commerce Committee Chairman John D. Rockefeller IV (D-W.Va.). It came at a time when Rockefeller, President Obama and others are seeking to offer a public alternative to private health plans as part of broad health-care reform legislation. Health insurers are doing everything they can to block the public option.

Insurers make paperwork confusing because "they realize that people will just simply give up and not pursue it" if they think they have been shortchanged, Potter said.

More on this story: http://www.washingtonpost.com/wp-dyn/content/article/2009/06/24/AR2009062401636.html

Where is the FBI and the grand jury?

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Richard Heckler 3 years, 3 months ago

The GOP repeal will not save anybody money. Obama care will likely not save anybody money because of the new mandates. The mandates just opened the door for the medical insurance industry to increase rates.

Want to reduce rates and save all of us money?

There are approximately 2000 providers = not a fiscally responsible system.

Consumers and governments at all levels must walk away from the medical insurance industry.

Why?

  1. high dollar CEO's & stock options

  2. golden parachutes

  3. reckless spending of insurance dollars on special interest campaign funding

  4. shareholders

  5. spending $1.4 million medical insurance dollars a day to keep fiscally responsible IMPROVED Medicare Insurance for All off the table.

  6. sales commissions

  7. 33% of every medical insurance dollar is spend on administration

  8. The medical insurance industry does not provide health care.

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