Few of the plans now coming out of Congress will save anything, says the CBO's current chief, Douglas Elmendorf. In fact, he says, they'll lead to substantially higher costs in the future — costs that will be "unsustainable."If the Obama administration is going to throw taxpayer money around, you'd think they would wait at least a year to blow another trillion dollars. After a while, these trillions really start adding up.
As it is, estimates for reforming health care range from $1 trillion to $3.6 trillion. Much will be spent on subsidies to make a so-called public option more attractive to consumers than private plans.
To pay for it, the president has suggested about $600 billion in new taxes, meaning that $500 billion to $2.1 trillion in new health care spending over the next decade will be unfunded. This could push up the nation's already soaring deficit, expected to reach $10 trillion through 2019 without health care reform. Massive new tax hikes will probably be needed to close the gap.
Friday, July 17, 2009
Fighting Back
Even though Massachusetts' near-universal health coverage is bankrupting the state by the second, liberal types are making the rounds saying that government-run health programs (like the VA) are actually swell. I guess veterans-related scandals were only the meme of the day when Bush was president. You can take a look at Joe's comment if you want to see what a pain in the ass it is to deal with the VA, and you can read this IBD editorial on how much this monstrous Obamacare is going to cost:
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