If President Obama signs into law a "public option" government-run health 'insurance' program, American could be on its way to becoming a European-style welfare state. To prevent this from happening, there are five realities all Americans must never forget:
- A public option is unnecessary; advocates say a government-run insurance program is needed to provide competition for private health insurance, but 1,300 companies already sell health insurance plans and that's competition enough.
- A public option will undercut private insurers and pass the tab to taxpayers and health providers just as it does in existing government-run programs; for example, Medicare pays hospitals 71 percent and doctors 81 percent of what private insurers pay.
- Government-run health insurance would crater the private insurance market, forcing most Americans onto the government plan.*
- The public option is far too expensive; the cost of Medicare -- the purest form of a government-run "public choice" for seniors -- will start exceeding its payroll-tax "trust fund" in 2017.
- The public option puts government firmly in the middle of the relationship between patients and their doctors.
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