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  • Morning Bell: Obamacare Is An Economy Killer

    Yesterday, the independent scorekeeper for Congressional spending proposals, the Congressional Budget Office (CBO), dropped a bombshell on Obamacare. The core of President Obama’s case for his health care plan has been his claim that it will “bend the curve” on rising health costs, thereby eventually lowering our nation’s exploding deficits. In a Senate Budget Committee hearing yesterday, chairman Kent Conrad (D-ND) asked CBO director Douglas Elmendorf point blank: “I’m going to really put you on the spot. From what you have seen from the products of the committees that have reported, do you see a successful effort being mounted to bend the long-term cost curve?”

    Elmendorf responded: “No, Mr. Chairman. On the contrary, the legislation significantly expands the federal responsibility for health care costs.”

    The independent verdict on Obamacare is in: Instead of saving the federal government from fiscal catastrophe, the health reform measures being drafted by congressional Democrats would worsen an already-bleak budget outlook, increasing deficit projections and driving the nation more deeply into debt. This runaway spending, coupled with the Democrats plans to raise taxes, will kill our struggling economy and leave us with double digit unemployment for years to come.

    Trillion Dollar Deficits: In his blog yesterday, CBO director Elmendorf laid out the economic impact of Obama’s never-ending trillion dollar deficits: “Large budget deficits would reduce national saving, leading to more borrowing from abroad and less domestic investment, which in turn would depress economic growth in the United States. Over time, accumulating debt would cause substantial harm to the economy.”

    Employment Tax: Both the House and Senate bills help pay for their new spending by instituting an employer mandate to buy health insurance that, as CBO director Elmendorf explained earlier this week, is really just a job-killing employment tax: “[I]f employers who did not offer insurance were required to pay a fee, employees’ wages and other forms of compensation would generally decline by the amount of that fee from what they would otherwise have been.”

    French Levels of Taxation: The House’s main vehicle for paying for their $1.3 trillion bill is a surtax on higher income Americans that, when coupled with state and local taxes, raises the top rate higher than economic competitors like Germany and Japan, and even higher than France. And that is just the opening bid. If health care savings do not materialize, as the CBO says they will not, the House bill gives Obama the unilateral authority to raise the surtax even higher.

    The White House reads polls. They know that confidence in Obama’s $787 billion stimulus package, like the economy it was supposed to stimulate, has tanked. Just 38% of Americans are confident the stimulus will turn around the economy. That is why President Obama continues to pressure both the House and Senate to pass his health plan before the August recess. But moderates in Congress are beginning to push back. Rep. Mike Ross (D-AR) has promised to keep the current bill off of the House floor until the runaway spending and taxation are addressed: “I don’t like the idea of raising taxes in the worst economic crisis since World War II.” Amen, Representative Ross. Amen.

    Quick Hits:

    • Vice President Joe Biden told an AARP audience in Virginia: “You’re telling me we have to go spend money to keep from going bankrupt? The answer is yes, that’s what I’m telling you.”
    • In a major concession to critics, the White House admitted yesterday that the $787 billion “American Recovery and Reinvestment Act” (AARA) was not designed for full economic recovery, but rather to “stabilize” the downturn.
    • The President and CEO of the National Black Chamber of Commerce tore into Sen. Barbara Boxer (D-CA) Thursday for what he said were her “condescending” and “God-awful” racial statements at her cap and trade hearing.
    • Despite having 1,892 constituents who reported wage, salary, and business income in excess of $200,000, House Majority Leader Steny Hoyer (D-MD) told The Hill yesterday: “I don’t know any small businessmen or women making $280,000, so I don’t think it will hit very many small businessmen or women.”
    • Guest Bloggers on The Foundry: Reps. John Shadegg (R-AZ) and Rob Bishop (R-UT) on No Cost Stimulus and Rep. Bill Shuster (R-PA) on Missile Defense.
    Posted in Ongoing Priorities [slideshow_deploy]

    45 Responses to Morning Bell: Obamacare Is An Economy Killer

    1. James McEnanly says:

      Steny Hoyer's remarks sound like the late critic Pauline Kael's assertion that she didn't know anyone who had voted for Nixon, after he had won by a landslide.

    2. Jack Lohman says:

      Of course, but that's because the insurance industry owned our congressmen and succeeded in getting them to keep private insurance in the loop, which wastefully drains 22% of health care costs. Instead they added taxes to the wealthy.

      Paying for reform could be very simple, except for the $46 million of insurance industry money taken by Congress. Obama’s Dems are as lucky as the Republicans, so it has become a major congressional battle. Politicians don’t do things for free, don’cha know.

      Get the bribes out of the political system and they'll fix health care overnight.

      Jack Lohman
      http://MoneyedPoliticians.net http://SinglePayer.info

    3. m. morton says:

      AMEN!

    4. m. morton says:

      NO to nat'l health care and No to Obama's schemes.

    5. Christopher Popham S says:

      Once again, there is a viable alternative option

      to nationalizing our health care choices. We must

      not allow the federal government to control and dictate health care insurance policy.

      The option is the Alexander McGee Medical Plan.

      This plan, or some modality of it, would be affordable to most Americans and fulfill the standard prerequisites of private health coverage.

      A brief history of health insurance in America, and a description of the McGee Plan are in an archived article entitled

      "Health Care-Who Cares-I Do" at
      http://www.breakingnewsjournal.net

    6. Frank Crocker, Washi says:

      Can Joe Biden stick his foot in his mouth any further? It was comical at first, but now it is almost dangerous.

      Frank Crocker
      http://www.axiomatennessee.com

    7. Richard Cancemi, Arl says:

      It is my opinion that Obama has one goal and that is to ruin our economy and thereby wreck the USA. When he has his crisis, he will push for a totalitarian, socialistic government and try to install himself as a lifetime "president"

      In my opinion, Obama is anti-American.

      He is closer to being a Hugo Chavez than an Abraham Lincoln!

      He must not be allowed to destroy our Country and way of life.

    8. Jeff, Florida says:

      We the people, will have all of the Obama's plans jammed into our faces in spit of the weak resistance from the opposing party due to the mob rule of the Obama Whitehouse. The only recourse will be 2010 or several million march on the Whitehouse or takeup arms.

    9. Proud citizen says:

      The people know who is on American Idol and Lost, but don't know we are borrowing from other countries and leaving our kids with more debt than they can pay off. Maybe it's the shock kids need so some day they will say "when I was a kid, there was freedom of speech, we had a great health care system so even the preemie babies and very old were given "intensive care!"

      Or, "I remember when medicaid and social scecurity would take care of the old people, and we had what is called a 401K that we could fall back on!"

      God Bless America!

    10. Reggie from Green Ba says:

      I cannot believe what is happening in this country!I am beginning to believe we the people don't have a say in what goes on in this country. I write,call,and e-mail rep's but they pay no attention. Is there some group controlling this whole mess that we don't know about?

    11. Ken - Santa Barbara says:

      Problematic with the figures presented is the fact according to the same source for the authors "Just 38% of Americans are confident the stimulus will turn around the economy." is this quote But don't gloat too much, GOPers. Your approval dropped to 29% http://www.nationaljournal.com.

      It appears the GOP had best listen to more compelling and insightful fact and policy. It isn't as tho you'd be giving up Conn. It's the idea that at least at thenextright.com they realize that if you don't look to adjust to the thought of collaboration your going to continue to fall in popularity and credibility. Those inclined to whine that "the opposing side" isn't any better, must resign themselves to admitting they can't lead care only to follow others downward.

      Bipartisanship?

      Posted: 15 Jul 2009 03:08 PM PDT

      Should Republicans seek more bipartisanship? The answer is an unequivocal "Sometimes."

      People mean different things by bipartisan. Most politicians mean "shut up and do what we want", and "bipartisanship" mostly becomes a rhetorical club to swing at opponents. Practically speaking, I think there are a couple ways to approach bipartisanship.

      Compromise [Unlikely]: Republicans and Democrats are not likely to pursue bipartisan compromise on the more significant, contentious issues. As Atrios has so often reminded us, People Disagree About Stuff. Compromising over those disputes is almost invariably a bad idea. It's bad politics (because you're angering your supporters) and bad policy (because you're splitting the policy baby).

      What's more, I don't think we really want that kind of bipartisanship. It invariably involves horse-trading (you can buy my vote if I can buy your vote). Outside of government, we call that sort of thing collusion and those of us being colluded against get stuck with much higher prices (government spending & taxes). Russell Roberts' terrific 1995 essay ("If you're paying, I'll have top sirloin") touched on this point.

      Collaboration [Yes, hopefully]: The second kind of bipartisanship – working together on areas of mutual agreement – is much more possible, and Republicans really ought to pursue it. We don't do enough collaborative, bi-partisan policy-making, because politicians tend to focus on the more contentious issues. For instance, everybody basically agrees on things like transparency, but that means there are relatively few points to be scored. Everybody wants to Win The War, nobody wants to fix the sink. As a result, important things don't get done. Republicans can begin rebuilding their credibility by pursuing some of this low-hanging fruit.

      It's time to put up or shut up. Whining here about others being stupid, un-American, or God forbid an activist is not patriotic…. it's whining

    12. Dave Cruce says:

      You are preaching to the choir. When are these facts going to get out to the minions that voted these clowns into office? We can write our congressmen untill we are blue in the face, they are still going to vote party lines. Now we have to worry about Republicans being bribed and threatened to vote for this attempt to socialize our country. I find so many people with their heads in the sand, or just do not understand the severity of these programs. There has to be a way to get the word out to them.

    13. Eddie MacIsaac, San says:

      Spelling Correction…

      This exercise in self destruction is properly called Obomba Care.

    14. Bob Garrett says:

      When you look at the do of the Obama administration you can see the plan is to distroy the economy of the USA which will cripple our way of life and our military. Please, who can I join with to take the Obama administration to court and stop thier unconstitutional actions.

    15. Ken Jarvis - Las Veg says:

      SURELY,

      DON'T CALL ME SHIRLEY,

      THERE IS SOMEONE AT HF

      THAT WANTS AMERICA TO IMPROVE.

      THE HATEFUL ANTI-OBAMA WRITINGS

      DON'T DO ONE GOOD THING

      TO HELP.

      LVKen7@Gmail.com

    16. A. Terranova, Ormond says:

      This is what happens when years and years of borrowing and spending beyond our means by the federal government, the states and the people, crescendo into the current state that we find ourselves: Total bankruptcy. Many, especially those who have power and control and only want more, are actively working to deceive us on a daily basis into believing that pumping more of our money into a failed plan will miraculously cure the problem. Mr. Obama is a charlatan and Mr. Biden is the quintessential messenger of false information. Spending more will only create more debt, greater deficits and will NOT CHANGE a bad economy into a prosperous one. How can it when all this administration has done is lied, taken our money to nationalize the banking industry, the automobile industry and eliminated jobs. No real recovery will ensue until private companies hire full time workers. No real estate recovery can occur unless and until private full time employment recovers.

      Nothing will recover unless and until this happens FREELY without government engineering and manipulative intervention.

    17. Roy Reed, Las Vegas says:

      We agree with Reggie from WI!! We do the calling and the e-mailing… They don't listen! Obama is making sure the government has full control of the US. Isn't there anywhere we can go to stop this from happening?The government will make us all poor and the GOVERNMENT rich!!! It's HAPPENING NOW!!! SLOW BUT SURE OBAMA WILL GET HIS WAY. IT SHOWS YOU JUST HOW MUCH OBAMA HATES THE US!!! This is not the change people wanted. The only thing we see is we are ALL GOING TO SUFFER BECSUSE OF THE MASSIVE CONTROL HE IS INFLICTING ON US!! wHERE IS THE HELP GOING TO COME FROM???? Obama is getting all the bills passed before anything can be done about it. He is disgusting along with the government!!! Obama has lied just to get voted in. Now we are STUCK WITH HIM. BIDEN IS JUST AS BAD CAN'T BELIEVE PEOPLE DON'T READ OR LISTEN TO THE NEWS… One should have read between the lines before he got voted in(that wasn't to hard to do!) We are sick about what's happening!!

    18. J. White, south Jers says:

      Once again, the definition of insanity is doing the same thing over and over and over again- changing nothing but looking for a diferent outcome. This applies to the childish fairy-tale nonesense called socialism/ healthcare- one and the same.

      Yet, there is an aspect that is not being addressed to even a limited extent. The healthcare insurance companies care absolutely nothing about anything except their proifts/bonuses. They deliberately drive up their premiums for their profits/bonuses, presuming that people will continue to shell out; however, too often, they will, in their next iteration, deny coverage with any excuse they can fabricate or "interpret" from their "guidelines".

      Am I a socialist? No ^*&(*& way; however,as they want only to insure recent grads of the Marine Corps boot camp, the rest of us have to pay premiums that are too high. Thereby, making healthcare unavailable for many.

      With the cost of an annual physical around $1,000 or more , they need to do an MRI or CAT scan….

      not being able to afford these preventive measures is basically sentencing some poor souls, and not necessarily "poor", to terminal illnesses that might have been caught prior to their becoming terminal.

      Forcing this healthcare onto the business world is yet another step in the insidious "mind" of the Empty Suit and his cronies who cannot be more obvious about their collective hatred for anyone who gets up off his behind and works to succeed.

      In closing, deny any and all illegal aliens from any free healthcare…NOT give it to them free as the democrtas want to do. Are they being altruitstic? Har har har- just looking for votes to stay in their comfy lifestyles…..at our ex-pence spelling deliberate

    19. Bob Veigel, Arlingto says:

      It is not just Obamacare that will hurt the economy, it is every program being offered that is about to destroy or will destroy the economy. The man is a an angry socialist who hates America and wants to control all, and level the playing field so everyone can 'enjoy' misery.

    20. Dan - Albuquerque says:

      Why are we in such a hurry to "reform" what is already the most technologically advanced, fastest, most encompassing healthcare concept ever contemplated in the history of mankind?

      I'll concede the need to address significant issues (tort reform), Medicare reform, Medicaid reform. I am lost on the notion that we need to throw out the current system and start with something new and improved. The people fighting for a single payer or public option concept do not have the moral argument to dictate to me on how I should share my earnings. They are my earnings and I will share them with whom I choose. If you want to provide healthcare for those that can't or won't get coverage then buy them a policy and you right the check for them every month, better yet, why don't we start with Congress and have them give the reported $46 million they recieved from the Healthcare industry to those that can't or won't get coverage and they could use the money to buy a policy instead of Congress using it for thier own selfish purposes!

    21. Roy Reed, Las Vegas says:

      We can't see why we have to suffer so as to pay for people who don't want helthcare. We are happy with what we have. Take it from the Democrats. Also, the stupid thing that Mrs. Obama is doing…planting a garden….How dumb is that!!!Just how in the world do they think people could do that in this day and age???? Good God, not everyone lives in an area where they could have a garden!!! How stupid do they think people are!!! All we have see so far is lies! The Heritage Fouindation should send all these comments on so the President reads them… not that he would care. You know when he leave the office he will be taken care of, as will all the government employees. He wants no one to have anymore than the next person….

    22. Dennis A. Social Cir says:

      We all gripe andmoan about this mess. When will the silent majority start to call and write the Congress about stoping this junk. We can all sit back and watch this country go down the tubes and then say "I did not think they would do this", well it is happening now. STAND UP AN BE COUNTED WHEN IT WILL DO SOME GOOD, AND ESPECIALLY IN THE ELECTION OF 2010.

    23. Ron, Derry NH says:

      This is the problem with agenda driven politics. There are people that want to force an issue on the American people because they BELIEVE in it.

      Not because any one asked, not because any constitutional authority demands it but just simply because they think as a nation we should have some expanding socializing program that gives them some cut of some one elses pie and creates some service that is already being offered, but not in the manor they believe it should be.

      This agenda driven politics is wreaking havoc as the politicians try to score the next electorate with our value. Any part of the economic sector that seems to be too expensive is because the friction to the consumers ability to refuse to pay is not enough part of the mix. Capitalisms ability to set economic value comes from friction between the buyer and the seller not with the government alleviating it or mandating its cost.

      The government take over and forced mandate of social programs and banking is not a cure of our system but a direct intervention to control voter will. Socialism needs to secure the banks, the industry and the health care to remove the citizenship from choice.

      The agenda to socialize America is in full swing because the facts of capitalism are being altered to promote the salvation through Social agendas. This agenda to tear out individual destiny, choice, profit or even loss is becoming politically subjective at whose destiny, choice or profit will be allowed and who will control it.

      Right now it looks as the the agenda of socialism is going to be forced upon America in a time when capitalism could easily work through the monetary imbalance and settle on the new cost values that the economy would bare.

      Those selecting social agenda are trying very hard to force money to their political allies, power to their agenda and force us to accept the consequences of the vision of a Marxist utopia.

      Sadly they are using the hopes and dreams of millions to set up a totalitarian based agenda driven reform that is a thinly disguised coup` to arrest personal choice and freedom of decisions away from the people and into the hands of government bureaucrats.

      Government put pressure on the housing market with agenda driven beliefs that eventually collapsed it, government put agenda driven beliefs on medical industry with providing free health care to illegals, it is collapsing it. Now the government is putting agenda driven politics above the American peoples economic survival….I think you can guess the results.

    24. Harry, Illinois says:

      U know it's not a good plan because none of the Politicians are willing to be included in the plan. Why would they, when they can just keep raising our taxes in order to keep their plan afloat while the public plan swims with the sharks.

      Until we unite together and vote anyone who has served 2 or more terms out of office, they will continue to treat us all as if we don't exist.

      In other words lets impose VOTER MANDATED TERM LIMITS. We don't need to ammend the constitution to do this because you know they will never bring any such proposal to the floor.

    25. Lynn B. DeSpain says:

      If Obama is for it, I can guarnatee two things, One, it will cost more than the Nation can afford. Two, it will not work.

      Hozro

    26. Pingback: ObamaCare and the journalistic ethic « Copacabana

    27. Frank, Conn. says:

      Obama is creating a major catastrophe in this nation with all of his programs & the congress is giving him a free pass to make all of this nonsense passed .the health care plan is basically for all the illegal people in the states ,they are the only ones to gain out of this mess. Obama figures when the next election comes they will vote for him! We the people have got to VOTE all these CLOWNS out of office !!

    28. Judith of The Great says:

      To Dennis A. of Ga. I agree that Americans should contact their congress persons. But I e-mail, call, fax every single senator and many house reps. until I'm "blue in the face". Have called the WH on occasion. Most people in the offices are nice, but I've been sneered at, yelled at, and hung up on. Only a few congress persons respond and it is usually with a "canned" response. I try to be polite, but it is hard. Does DC care? obviously not. I heard one caller on a radio show today say she called her senator's office, and was told the senator would vote for the health bill, no matter who it hurt. Nice, huh?

      Anyone have any better ideas to make them really represent us?

      One more point. As of Oct, 2008, 2 out of 3 senators were millionaires. In the house 39% are millionaires. Would like to find out how they are going to "protect" their money from the confiscatory taxes about to descend on this country.

    29. Kathleen Barraclough says:

      If I want to die sooner, rather than later, I will accept "abomination care". Please, let me be the person in charge of my own health care.

      Thank you!

    30. Pingback: » Financial News Update - 07/17/09 NoisyRoom.net: Where liberty dwells, there is my country…

    31. Don Henry says:

      Folks, we have got to stop this health care reform don't throw out the baby with the bath water, please contact your congressman and senators please this bill has to be killed it will destroy our nation and everything we have worked for.

      Medicare and medicade is bankrupt what do you think will happen with gov. health care, yell from the roof tops no gov. intervention.!!!!!!!!!!!!!!!

    32. Don Henry says:

      Cap and Tax has to be reversed and stopped, we cannot allow the gov. the ability to continue on this path. Obama Auto, Obama banking, Obama health care, Obama, Obama, Obama Where are the freedom loving, independant thinking TEA PARTY AMERICANS? The ship is in the harbor it is time to throw everything (big government) overboard.

    33. whicket williams Kin says:

      People are beginning to wake up After calling and writing every rep in sight for seven months, and being totally ignored, they are beginning to understand how much clout they have with this bunch entrenched in washington. Now, when " never re-elect ANY incumbent, regardless of Party" starts appearing in every post, we will begin to make a little progress against the forces intent upon enslaving us under the guise of saving us.

    34. Old Lady says:

      I will add one more futile remark to the aforementioned:

      Congress is corupt;

      The White House hears and sees nothing the public is stating;

      The news; the airwaves and every organization is corupt; all the while we have no one to lead us out of this one big toilet flush.

    35. Lianne Christensen says:

      LETS FACE IT WE LIVE IN Obamaland where he is telling us that he knows what is best for us and just be good little boys and girls shut up and sit down. meanwhile the media is corrupt and alot of people have no idea what is really going on because we are being lied to in every direction possiable,but I am not going to take it I will fight back like I know many Americans are doing.

    36. Craig , Trinity,NC says:

      Its great to hear so many Americans are now realizing how much Obama is a Marxist, Communist, Solialist, and wanna be dictator.This man has an agenda and doesn't care about Americans at all. Please all help to wake up those who say they care but, do not call nor e-mail their Congressman and Senators. We Americans need to be flooding these people with phone calls and

      e-mails. WE MUST MAKE OUR VOICES HEARD! My question to all of you is why don't we find somebody to lead us and lets work on trying to get at least a million people to march on Washington and shut the place down to show Obama and all the other cronies that when re-election comes up they are all out! Who is with me on this. I personally am ready for a Civil War against our government to get rid of this wanna be dictator. Folks you have to realize that we are dealing with a man in Obama who has deep anger issues and never has one good thing to say about our country. Let me know!

    37. L.P.Smallwood, Atlan says:

      The administration actions on taxation (by any name) indicates either (a) Obama et al are as dumb as a post in a corn field, or (b) they intentionally, willfully, want to destroy this nation any way they can. Since they don't, (except for one V.P.) show indications of gross stupidity, the alternative must be correct. Or so would William of Occam propose. Second comment. I am extremely proud of CEO Allford (NBCC) for not only understanding the inherent racism of liberals such as Boxer, but declaring it openly. ///

    38. ella quinn n.c. says:

      lETS, FIRE EVERYONE IN THE WHITE HOUSE.wHEN YOU WRITE OR CALL YOUR SENATORS,TELL THEM YOU WANT THEM FIRED.

    39. Carmen says:

      Why, politicians do not understand. you can not fix garbage with garbage and also do not listen to their bosses "US"

      Do we the constituents have to go to their representatives local offices and personally protest obamacare.

    40. Pingback: Why Believe Obama on His Health Care Plan? - Community Blog - American Issues Project

    41. Pat Michigan says:

      It would be much less expensive to give one million dollars to every legal American to put into an HSA account that the individual owns and uses to pay his lifetime health care costs. The particulars could be worked out by educated, competent, non politicians.

      Think about it.

    42. Vested says:

      They really do think we're stupid. I've had enough – not that there is much to be done about it right away – but we'll keep plugging along and get over this hump somewhow. I always figured that, if we could survive Jimmy Carter, we could survive anything; however, I'm having second thoughts. – At least Jimmy was honest most of the time.

    43. Pingback: The cost of HC reform - Page 12 - Political Forum

    44. John, Colorado says:

      What if about 250,000 small business owners just shut their doors for about a month?

    45. Deanna 80860 says:

      I am a concervative but believe also that we should vote out every person in Congress who has been in there long enough to be locked into the Washington Insider attitudes. The saddest part of the issue is our citizens are as addicted to the pork their representatives bring to their states as special interest groups are. When we become unable to see a vision for the whole and not self, there can only be one outcome. If entitlement and not work ethic is so great, why are people more unhappy? We are guaranteed the persuit of happiness. Our happiness is a personal goal, not a reqirement for our government. Grow up, America.

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