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  • Chart of the Week: Obamacare's Bundle of Budget Gimmicks

    President Obama has touted reports from the Congressional Budget Office claiming his health care law would actually decrease the deficit. But due to a bundle of budget gimmicks and other legislation, calculations show that Obamacare actually adds $698 billion to the deficit. This week’s chart outlines each of those budget gimmicks.

    “This morning a new analysis from the Congressional Budget Office concludes that the reform we seek would bring $1.3 trillion in deficit reduction over the next two decades. That makes this legislation the most significant effort to reduce deficits since the Balanced Budget Act in the 1990s,” Obama declared two years ago.

    CBO actually did project the health care law would reduce the deficit, but that assessment has “always rested on a series of omissions, gimmicks, double-counting of savings, and implausible assumptions that also have not changed since the law was enacted in 2010,” according to James Capretta, a visiting fellow at The Heritage Foundation.

    The CBO report double-counted Medicare savings, which adds $400 billion to the deficit. The Medicare cuts were supposed to pay for both entitlement expansions and future benefits out of the Medicare Hospital Insurance trust fund.

    “Then there are the scores of implausible assumptions,” said Capretta. “The Medicare cuts that are double-counted may not survive long anyway, because they are so indiscriminate and blunt that the chief actuary of the Medicare program has warned multiple times that they cannot be relied on. If they are implemented as written, they will cause severe access problems for seniors, as declining payment rates from Medicare will drive hospitals and other providers to stop taking elderly patients.”

    Posted in Featured, Scribe [slideshow_deploy]

    9 Responses to Chart of the Week: Obamacare's Bundle of Budget Gimmicks

    1. heleneadamss says:

      Healthcare is not subject to normal market forces! Anything that you have to buy at any random moment in order not to die is not something to which a rational supply/demand calculus can apply. Check out "Penny Health" articles on how to reduce the cost of insurance.

      • Stirling says:

        Twisting yourself into a pretzel to explain the liberal healthcare arguement is amusing.. Everything is subject to market forces, it's called the free market system.. The problem is when government so perverts it (as they have been doing.) to attempt utopia that it fails to do as it should. Objectively look at the current socialist/communist countries which control their population thru healthcare, it's a mess of Debt.

      • mike says:

        I'd rather reduce the cost of care.

    2. Saltire says:

      Arggh, me hearty, there be smoke and mirrors in government.

      Who would have thought, that it would be so?

    3. Artruen says:

      . If they are implemented as written, they will cause severe access problems for seniors, as declining payment rates from Medicare will drive hospitals and other providers to stop taking elderly patients.”

      That is the point of obamacare! Think like a communist and you come up with a scheme like this.

    4. Blair Franconia, NH says:

      I want Nobamacare.

    5. Bobbie says:

      How come it isn't stopped based on unknown validity?

    6. It is gimmicks is right, "Except in time of War". WHY is there war that we don't understand? There is probably cause it is the codependency to "tax us more." The 16th Amendment to the Constitution of the United States – "Any budget passed by the Congress must be funded by actual revenues collected through taxes as described above. Except in time of War" "Congress shall make no law that applies to the citizens of the United States that does not apply equally to the Senators and/or Representatives; and, Congress shall make no law that applies to the Senators and/or Representatives that does not apply equally to the citizens of the United States." – 28th Amendment and The 16th Amendment http://www.usa28thamendment.com/

    7. keithmullinss says:

      You dont have to use prison to get quality medical care, use "Penny Health" if you need affordable health insurance. Yeah i am trying to give a solution here.

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