March 22, 2010

LIVING A LIFE OF REASON:

This is not History with a capital H: The health reforms in the US are neither historic nor disastrous. They simply show what ‘Change’ means under Obama: tinkering on the edges. (Sean Collins, 3/22/10, Spiked)

The new law is not a major change, nor an historic achievement. It does not represent an enormous step forward, but neither is it a calamity. The reality that neither party will admit is that the reforms represent a modest change that does not address the structural problems of the healthcare system in the US.

Key reforms in the bill include: reducing the number of uninsured by 32million by 2019; requiring people to buy insurance, while providing assistance to the lower paid; creating ‘exchanges’ where people can buy insurance from an array of private providers; requiring insurance companies to accept applicants with pre-existing conditions and not allowing them to drop people who develop conditions; and introducing certain cost-cutting measures. The Congressional Budget Office (CBO) estimates that the reforms will cost the federal government an additional $938 billion over 10 years. However, these costs are to be covered by tax increases and cuts in the growth in Medicare (government-provided healthcare to older people), and the CBO estimates that the health-spending deficit will actually decline by $143 billion in the next 10 years.

Of course, the new law is significant, and it does contain enhancements. Changes such as having more people covered by insurance, and regulating insurance companies’ ability to deny coverage, are genuine improvements and will make a difference to many people’s lives. But in the context of the scale of the problems with healthcare in America, the reforms are conservative and minor. As Obama himself has said, this reform package is very similar to the one championed by the Republicans in 1993 in opposition to the Clinton proposals, which themselves were not all that radical.


George Santayana said: "Fanaticism consists in redoubling your effort when you have forgotten your aim." This kerfuffle over really rather minor reforms illustrated that nicely.

Posted by Orrin Judd at March 22, 2010 10:34 AM
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