Point Proved

MWG knows that writers are not in charge of their headlines but EJ Dionne‘s headline is consistent with his article.  The headline is: Must the Obamacare Debate Be Stupid?  EJ proves that it must.  Best of the Web Today gives a longer list of commenters that are up in arms about the reactions to a CBO report.  Dionne and others are trying to convince us that mostly poor folks working less is good.  Why are they working less?  As Greg Mankiw pointed out five years ago the problem is high marginal tax rates for low income families.  Dionne has completely convinced MWG of his headline.  MWG doubts he wanted to do it that way but there you are.

Of course serious thinkers want to separate heath care insurance from the job.  The easy way is to make fringe benefits gross income so health care insurance is not tied to the job (and becomes insurance rather than fully paid medical care like MWG has).  Obamacare is too expensive and not effective enough because it creates incentives that the CBO report quantifies.

Oh, and remember the reason for Obamacare?  To reduce the number of uninsured Americans.  According to the same report (see p 107), there will still be 31 million uninsured in 2024.

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s