Sunday, August 23, 2009

Obama's Goal

In politics, things are rarely done in a straight forward manner. By that I mean the goals stated are usually not the whole story. There is almost always another motive that they don't dare state. You have to divine this from the details of the proposal as it relates to the stated goals.

So for example, we are told that we need health care reform because we have 47 million uninsured. No discussion how many of those have made an intentional choice to save the premium costs. For the purposes of this discussion, let's take that number as correct. That is roughly 15% of the population. That means that 85% of the population is insured and probably satisfied with their insurance coverage.

So now, is the new plan the best and cheapest way to get that 15% insured. Clearly not!! The dictum "First do no harm" should be kept in mind always. It seems pretty foolish to upend the whole system and mess around with the satisfied 85% when we need only subsidize the 15% and be done. To understand what I am saying, think how we help those who cannot buy enough food. The government did not take over the food industry. They gave money to poor people who met certain criteria, via the mechanism of food stamps. They buy their food like everyone else, in a free market with all the efficiency and innovation that comes with it.

The equivalent method for health insurance is "HEALTH STAMPS. Just set up a needs based requirement for getting a voucher which I like to call health stamps and the stated problem is solved and the 85% are not affected or disturbed.

So the stated reason is not the true reason for this massive 'reform'. What might the true reason be? I am assuming that there are two driving forces for this. We know that Obama has spent his whole life espousing big government intervention and the Marxian dictum, "From each according to his ability and to each according to his needs". Apparently he wants a monstrously expensive system that will justify raining taxes even further on the already most taxed group of high income earners. When experience shows this as still inadequate, let's go after those comfortable middle class folks. Let's share every one's poverty. Socialists do not understand incentives and disincentives very well.

Rationing is also inevitable in an always cash short system so this will give the leaders the power of life and death over the populace. I hope that is not a driving force but it cannot be discounted.

In any case, the plan is idiotic since the problem can be solved much more simply with "health stamps".

Please don't take this as an endorsement of a broadening of the welfare state. I merely point out that health stamps would solve the problem without creating a disaster. A still better but longer term solution is eliminating the state and federal laws and rules that make health care more expensive than it needs to be. Thus I offer as an alternative the HEALTH STAMPS PLAN as a short term fix with a deregulation move to follow. That will have a goal of lowering the costs so that nearly everyone will be able to afford good insurance and fewer will need health stamps.

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