Why Conservatives should support Government Healthcare

by Roland Lindsey

David Frum posted an excellent post on the Bush Economic Legacy over at NewMajority.com.  I hope that the Republican leadership reads it.

When you look at the traditional levers of tax policy, interest and inflation rates, there is just not much room to make things any easier on business to create jobs and raise income levels, let alone pay for health care. There are many things we can do to encourage business and wage growth, however. Like fix this odious, job-killing system we have in America called Health Care.

Reforming health insurance alone will not solve the problem of cost. Even if all insurers became non-profits but otherwise performed at the same rate, it would only reduce the cost of health care by 1% of the $2.4 trillion it costs us now.  Want to see the data?  Check an NPR analysis of the data here.  From the article:

To negate this notion, AHIP features a dollar bill with one tiny slice out of it (shown below) on their Web site, illustrating that their members only make 1 cent of every dollar spent on health care.

That may be the case, says Princeton economist Uwe Reinhardt, but “whether it’s fair or not depends on what it is you want to describe,” he says.

“All that statement says is, if you eliminated all our [insurance company] profits, national health spending in America would be 1 percent lower. It has meaning only in that context,” Reinhardt says.

Tort reform is not going to bring our costs significantly down. How do I know this? Look at the size of the medical malpractice insurance industry. Not only is the medical malpractice insurance industry doing very well from a profitability point of view, the cost of medical malpractice is at a 30 year low. In fact, in 2008, the total cost of medical malpractice insurance premiums was $10.7 billion. That is less than one half of one percent of the $2.4 trillion we spend on health care. Total payouts from malpractice insurance in 2008? $4.7 billion.  There is a study here on tort reform by the CBO from 2004.  They did not believe then that it would affect the economics of health care.  There is another study undertaken by Americans for Insurance Reform.  Same deal, it’s just not a significant factor, and honestly should just be taken off of Republican talking points.

Come on, Republicans. We can do much better than this. And the independents, those people who really decide elections… They know whether or not they did better in the last decade or if they did worse. They don’t care what Glenn Beck says, and they don’t care what Keith Olbermann says. They care about their own situation and their own prosperity. And while Republicans do not solve problems for them, they will vote Democrat. It’s the simple truth.

We hear the comparisons to Canada and the UK and Switzerland, and we laugh it off because we say, “Well sure, they may control costs better than we do, but I’d hate to get sick over there!” And then we lay out a lot of reasons why our system is better.

Except the costs of our system are crushing individuals, business, and our economy. And we Republicans are blind to the reality that our “solutions” to the problem are tiny drops in an enormous bucket. Would you prefer the economic growth of the ’80s or the ’90s to the economic growth of the ’00s? We all would agree that would be preferable. Would you be willing to go back to an ’80s standard of Health Care to achieve that?

If the only substantive choice to contain health care costs is to move over to a Single Payer system like Canada (costs 10.6% of GDP), or a Nationalized system like the UK (costs 7.5% of GDP), then we must support the substantive choice. We can cry about losing our liberty and freedom all we want, but do not forget that economic freedom equals real freedom. That personal liberty is not possible without economic liberty. And the trajectory we are on is one that leads to economic slavery.

If I have to choose between continuing economic disaster in this country while the Republicans remain in permanent minority status and waiting 3 months for a doctor visit, I’ll take the waiting list.

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Published in: on September 15, 2009 at 10:53 pm  Leave a Comment  
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Health Care in America – Choice?

by Roland Lindsey

“Choice” is a word we hear from talking heads and politicians nearly every time they talk about Health care in America.  President Obama recently declared on talk radio, “Choice, competition, reducing cost, those are the things I want to see accomplished in this health care bill.”  Nancy Pelosi said, “I agree with the president when he said a public option was the best way to keep the insurance companies honest, that it would be the best way to increase competition so that we can lower costs, improve quality of care, retain choice and expand coverage.”

On the other side of the debate, the Republicans have opposed Democrat plans for health care reform, often claiming it would take choice away from the American people.  Representative Paul Ryan claimed the federal bureaucracy would replace “choice and competition.”  Representative Bob Latta claimed “I believe people should have the choice to keep their own insurance, or Health Savings Accounts, if they are satisfied with their coverage and not be subjected to government intrusion into their personal choices.”

Republicans have introduced a plan called “The Patient’s Choice Act of 2009” that would create state insurance exchanges.  The purpose of these exchanges is to make it easy to compare and select plans.  Apparently they have never heard of http://www.ehealthinsurance.com.  The plan would also… give people money to buy health insurance.  And if you are uninsurable through these plans?  They will do what Washington State did and create a “high risk” pool that would be more expensive, but would still provide coverage.

So much concern over preserving “choice” or granting more “choice.”  After consulting my own experience, I pause to wonder, “Why do you keep saying that word?  I do not think it means what you think it means.”  Like 56.5% of Americans, I have always received health insurance as part of my total compensation from my employer.  Odds are good that you receive your insurance this way, so I ask you:  When was the last time you made a choice in your health insurance?
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Published in: on August 21, 2009 at 8:51 pm  Comments (3)  
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Our Healthcare System In Crisis: The Evidence

by Luna Flesher

It’s become clear to me based on the feedback from my previous posts on healthcare that many people in America don’t realize there are any problems with our existing system.

There is plenty of information available about these problems.  I always like to steer people towards personal research, but these links should get you started:

Plus:

And I’m not even talking about universal coverage to pay for those who can’t afford it.  I don’t have to even go there.  Because like it or not, we already pay for the poor’s healthcare through:

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Published in: on August 15, 2009 at 4:52 am  Comments (7)  
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