Wednesday, October 14, 2009

You can't ignore these facts

Background: A letter in the Farmington Observer slams opposition to Obamacare. Just trying to make sure people know the facts about our government's ability to accurate forecast and manage costs.

Contrary to what supporters of Obamacare would have us believe, the real debate is not between reform and the status quo. Most reasonable people recognize the need for changes in the health care and insurance industries. Unfortunately, the debate in Washington is over how much more control government should have – a lot more or a whole lot more. Too many people are lining up with their favorite partisans, casting insults and parroting half-truths, and reducing the debate to a playground spat like two children yelling “You’re a liar.” “No, you are.”

Some claim insurance companies are trying to hijack the debate, while others accuse labor unions. For those clueless about how the incentives in Congress work, you can be certain both special interests will get what they want and taxpayers will be left holding the bag.

For those who choose to believe that President Obama and an army of bureaucrats will lower health care costs and save money, here’s a reminder on how well our government manages the bills. Social security has an unfunded liability of $17.5 trillion while Medicare is at $38 trillion. The federal debt is $11.8 trillion and this year’s deficit is estimated at $1.7 trillion.

In July 2009, the Senate Joint Economic Committee released a study comparing the original estimated costs of various Medicare programs with the actual cost. The findings should give pause to even the most ardent supporter of government-run health care.

In 1967, the House Ways and Means Committee predicted that the Medicare program would cost $12 billion in 1990. Actual spending in 1990 was $110 billion, nearly 10 times higher than the original estimate. In fact, every single addition to the base Medicare program has cost between 2 and 17 times the original estimates.

Those are the facts. Ignore them and you’re just lying to yourself.

[Letter to the Editor - Farmington Observer. Published 10/18/2009.]

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