Obama fiscal commission co-chair pans health bill’s impact on costs
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The Democratic co-chair of President Obama’s fiscal commission said Wednesday that the president’s health care bill will do very little to bring down costs, contradicting claims from the White House that their sweeping legislation will dramatically impact runaway entitlement spending.
“It didn’t do a lot to address cost factors in health care. So we’ve got a lot of work to do,” said Erskine Bowles, former White House chief of staff to President Bill Clinton, speaking about the new health law, which was signed into law by Obama this past spring after a nearly year-long fight in Congress.
Bowles, speaking at an event hosted by the U.S. Chamber of Commerce, said that even with the passage of Obama’s legislation, health care costs are still going to “really eat us alive” unless dramatic changes are made. The commission will submit recommendations on how to fix America’s long term fiscal problems to Congress in December.
Bowles’ point will be amplified Thursday when a conservative think tank releases a paper arguing that Obama’s health plan “is not entitlement reform,” at an event intended to highlight an alternative plan for reforming health care spending that is the brainchild of Rep. Paul Ryan, Wisconsin Republican.
James C. Capretta, a former White House budget adviser on health care to President George W. Bush, will present the paper for the Galen Institute at an event on Capitol Hill with Ryan, one of the Republican Party’s rising stars, and Douglas Holtz-Eakin, a top conservative economist.
Even as many on Capitol Hill are talking about addressing Social Security spending, Capretta writes in the 19-page paper that Medicare is the real problem.
Most Democrats and Republicans agree, Capretta says, that the 30 to 35 million seniors in Medicare’s fee-for-service (FFS) insurance program are “the engine … pulling the rest of the health system down the tracks at an accelerated and dangerous rate.”
Most FFS participants pay nothing out of their own pockets for health care, and hospitals and doctors are incentivized to provide them with as many services and tests as can be loosely justified.
But Capretta says in the paper that the Obama health bill is not reform because it attempts to stop price inflation and inefficient care through top-down government control rather than bottom-up consumer demand.
“When attempts have been made in the past to steer patients toward preferred physicians or hospitals, they have failed miserably because politicians and regulators find it impossible to make distinctions among hospitals and physician groups based on quality measures that can themselves be disputed,” Capretta says.
Capretta goes on to say that Paul Ryan’s plan would move Medicare recipients from defined benefits to defined contributions, in which “cost-conscious consumers choose between competing insurers and delivery systems based on price and quality.”
“Beneficiaries would get to decide which insurance plan they want to enroll in. If the premium were more than the amount they are entitled to from Medicare, then they would pay the difference. If it were less, they would keep all of the savings,” Capretta says.
“Millions of otherwise passive Medicare participants would become active, cost-conscious consumers of insurance and alternative models for securing needed medical services,” Capretta writes. “Cost cutting innovation would be rewarded, not punished as it is today.”
White House officials pointed to recent blog posts by White House budget director Peter Orszag, who said that “if implemented effectively, [Obama’s health care bill] can play an important role in moving toward a healthier fiscal future.”
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This is what must be done and we all know it….
THE FREEDOM MANIFESTO
I read an article in Politico on the agenda of MoveOn.org, which explains their new agenda, now that the most liberal politician in our history has been elected President. Got me thinking of what it would look like if the “right” would – hypothetically speaking, of course – develop a plan to resist MoveOn, Obama and the age of huge (not just big) government. These people at MoveOn did not wait for politicians in Washington to step up to their agenda – they stepped up to the politicians and said “you are going to do this, or else.” We Christians and Conservatives, likewise cannot continue to howl and fuss at liberals who do not fight for the Founding Principles upon which our nation was founded. If MoveOn and the Daily Kos can do it, so can we. And we must. The attack plan below to restore Constitutional government, is just a start but should include:
1.Establish the groundwork for a boycott of the federal income tax. If you no longer feel the federal government is operating within the confines of the Constitution, you have a moral obligation to become a conscientious objector and simply say NO to the payment of taxes to Washington. Does the Constitution give the Feds the right to bail out labor unions and give non-citizens rights and benefits? If you feel that by doing so, our sovereignty, Constitution and Bill of Rights are null and void then so is any responsibility you may have had for taxes under the 16th Amendment. 2. Begin a vigorous campaign to urge the public to home-school and/or send their children to private schools, with or without vouchers. Then begin a major program to build a private, non-union school system. This is the only way we will crack the huge union dominated government school bureaucracy. 3. Begin to use the legal system to fight big government. If the ACLU can do it, why can’t we? We must begin to bring suit on every issue that threatens our nation’s original freedoms and traditions. 4. We begin a systematic march on the media, especially television. TV is the medium through which the liberal agenda is being implemented. The left learned long ago that a picture is worth a thousand words and the best example of this is the pictures of bodies of dead soldiers they broadcast every time we are in a war they do not approve of (usually when a Republican is leading it!). Holding pro-America, Republican rallies at local TV stations would be a great start – especially if the liberals re-implement the “Fairness” Doctrine. 5. Boycott employers who advertise on far left liberal media outlets like NBC. No patriotic American should buy a General Electric household product as long as Matthews, Olbermann and their ilk are permitted to spew their anti-Republican, anti-American hatred. 6. Expose the controlling roll that unions play in growing a totalitarian media/government complex. 7. Establish an underground network of physicians and health care providers that will fight to preserve private sector medicine. 8. Establish Committees of Correspondence and Safety to provide communications and security – just as our Founding Fathers did. 9. Join the NRA as we have just as much right to carry guns under the 2nd Amendment as the media does to carry cameras under the 1st Amendment. 10. Demand adherence to the 9th and 10th Amendments of the Constitution and promote and support state sovereignty efforts. 11. Tell your health care providers that they do NOT have your permission to enter your private medical information in a Federal data base as required in the recently passed (and unconstitutional) so called Stimulus law. 12. Give every American citizen two million dollars, deposited in a bank of their choice, in conjunction with the elimination of Social Security and all federal welfare programs such as WIC, S-CHIP, Medicare, Medicaid, HUD, etc. Shut them all down and 13. Repeal the 17th Amendment 14. Repeal the law that makes government employee unions legal.
These are just a few of the actions that are necessary to first stop and then roll back the liberal juggernaut that threatens our basic freedoms and liberty. In our Declaration of Independence, our Founders pledged their lives, their fortunes and their sacred honor. It is not too late for us to make that same commitment; in fact it is just in time.
THESE are the times that try men’s souls. The summer soldier and the sunshine patriot will, in this crisis, shrink from the service of their country; but he that stands by it now, deserves the love and thanks of man and woman. Tyranny, like hell, is not easily conquered; yet we have this consolation with us, that the harder the conflict, the more glorious the triumph. – Thomas Paine, The Crisis, December 23, 1776
“In questions of power, let no more be heard of confidence in man, but bind him down from mischief by the chains of the Constitution.” – Thomas Jefferson
“I cannot undertake to lay my finger on that article of the Constitution which granted a right to Congress of expending, on objects of benevolence, the money of their constituents.” – James Madison
To the people saying how horrible it is that the insurance companies ration care rather than the government. At least you can sue an insurance company, good luck suing the government.
You can also make the choice not to pay an insurance company at all. With the new system armed IRS agents will be making sure you pay the feds and your only choice is jail or death if you refuse to pay.
‘health care costs are still going to “really eat us alive” unless dramatic changes are made.’
Which is CODE for organized rationing decided by the “professionals” and not doctors.
Which means some people are going to be judged less worthy of money being “invested” in them for their heathcare.
Which means some group is going to make that decision in the “collectist” interest.
I wonder what we may call that group.
Oh yeah. DEATH PANEL. Kinda catchy huh?
The Republican Corporate Party backed insurance takeover of health care, with insurance company bureaucrats, not physicians, making your medical decisions, and having insurance company bureaucrats rationing your health care to increase the insurance company’s boittom line, even if it kills you, is what is causing the astronomical increase in health costs. All advanced industrialized nations (except the backward, Charles Dickens type 19th century style health care of the United States) have universal health care, and most have single payer systems which gives them ten times better health care than American insurance run health care gives Amercians.
If you want single payer, move to a country that has that system. The USA has the finest healthcare in the history of mankind, it is a fact. This horrendous bill must be repealed before it destroys the country.
You better get your facts straight.
http://www.photius.com/rankings/healthranks.html
And you can get different results at a different site. It all depends on the protocols used.
Bogus figure from bogus organization. Get YOUR facts right.
You are absolutely correct! Obamacare is a nightmare, and the more people find out about what’s in it the worse the nightmare will get! Hopefully it will be defunded when the democrats lose the house.
Wow John, evidently our health care system hasn’t figured out a way to cure stupidity. England has groups of government bureaucrats who decide what care patients can receive based on their value to society (i.e. old people get less care because they won’t be contributing much more money). The deaths from cancer rates are astronomically higher in all these countries, but especially in England.
But you go right ahead saying dumb-assed things like theirs is “ten times better.” Since that obviously is something you pulled out of your derrier, we know that the rest of your comment should be treated with the same level of seriousness.
so des1, in your infinite wisdom, how come we are ranked below Morocco in the world health organization rankings? We should be number 1. But just leave things the way they are, and just keep saying to yourself, as your head is in the sand, “our health care is the best”. Over and over.
http://www.photius.com/rankings/healthranks.html
And you neglect the fact that U.S. health corporations decide whom will get care and whom will not based on financial ability to pay, or the companies willingness to cull profit and scam their way out of their own policies. Here you are talking about some country in Europe, when death panels have been and continue to happen under your own nose.
http://www.calnurses.org/media-center/press-releases/2009/september/california-s-real-death-panels-insurers-deny-21-of-claims.html
For the sake of honesty lets just get it out there that the numbers are tilted against America with things like how infant mortality rates are factored. See there no set metric and each country uses different standards.
It’s called intellectual honesty if you used it you might impress your self.
Now, do a little research on how many bogus claims are submitted by California physicians.
http://www.abajournal.com/news/article/94_indicted_36_arrested_today_in_record_5-state_251m_medicare_fraud_bust/
I bet you’re not even curious how many of those “rejected” claims are bogus, are you? Of course not – that doesn’t fit into your agenda.
How is it better to have bureaucrats making health care decisions instead of Dr.s? This is what Oblahblah has given us.
Shut up, John.
The biggest problem, in my opinion, with American Health Care isn’t doctors… it’s the lawyers…
Stop the BS lawsuits, the tests, repeated tests and follow up tests that are done ONLY to ensure the doctor safety from these lawsuits. The over testing causes additional costs… and also causes future health problems to the patient.
Before any so-called healthcare reform, we MUST address TORT! Trash ObamaCare and address the crux of the problem!
Move to Europe, John… and after 5 years, drop us a line, and tell us if you still believe the statement you just made.
And what EXACTLY is that “bottom line” — i.e. PROFIT MARGIN for “insurance” companies Murphy?
Let me inform you. It’s incredibly low, depending upon which survey, about 3%. Which puts it near the botton of every list of profitable industries.
The dems and Obama made the contract with Big Pharma and the insurance lobby to take out the single payer out of the healthcare bill.
Don’t let facts get in the way of your partisan bull crap though.
In a related story, there is a new t-shirt on the market. On the front it says I survived Obama. On the back it says “The front of this t-shirt is a lie.” Because, folks, none of us will.
We will know whats in it after it passes……Pelosi. Well nancy we knew before it passed it was filled up with crap that would harm America. It just keeps getting confirmed that the prez is a liar and so are you.
Absolutely the worst President of my life time and a compulsive liar on top of it.
I agree, and I survived Carter!
You are absolutely, positively, completely correct!!!!
Somehow I thin Mr. Bowles will be harshly criticized for his assertions. This will only fuel the call for repeal.
The NAACP already decided he’s a racist. Hadn’t you heard?
good piece . . . but no huge surprise reported here. everyone knew that obama got the most he could in terms of cost-savings . . . but the rightwingers shot down the public option and other provisions that would have been more successful in cost-savings. of course single payor is the best for cost saving. right?
Good one but you forgot to say “Its Bush’s fault”.
You really must stop drinking all that kool-aid! Ween yourself off it and you’ll see what is actually happening to this country, and it’s not good!
“The rightwingers”……….here’s a clue: THE DEMOCRATS HAVE A MEGA MAJORITY IN BOTH HOUSES AND THE WHITE HOUSE AND STILL COULD NOT PASS IT. Stop blaming the minority for the lack of support for single payer.