Libertarian Cato Institute: ObamaCare $6 Trillion



If you want the truth about the cost of ObamaCare, you’re not going to get it from the Democrats, the Heavy Breathers, the Warmers, or the Truthers. The Cato Institute, the non-partisan think tank which has done groundbreaking work on experimental economics and sensible alternatives to the Drug War, has examined the health care bills coming out of Congress.

The conclusion? Budget gimmicks, changing the date window to cover years when nothing is implemented, and outright distortion by refusing to cover a federal mandate on the private sector as “a cost”, have hidden ObamaCare’s $6.25 Trillion Pricetag.

The CBO, which doesn’t account for the price of any of the above, still admits that everyone’s helath care premiums will RISE because of this boondoggle. It also admits that tax rates will have to double by the time new workers are ready to retire, to 66% in 2050, to pay for Government spending on health care, if we continue down this path.

So, how did the Democrats get there? First of all, they score the first decade of spending from 2010 to 2019, a full four years before the government money starts to flow. They will only be collecting the first four years. Adjusting the markers from 2014-2023, the cost is $2.5 trillion.

Second, mandating individuals and businesses purchase health insurance. Since when is this not “a cost?” Every other government mandate is given with a price tag? Why are the Democrats so scared to put up the numbers? The government can force you to cough up $10,000 for health insurance, and then hand that to private insurers, and its spending. But write the law differently so the government makes you just hand the money to the private insurer directly, and suddenly it drops off the spending charts. And directly in contradiction to how the CBO scored mandates in the past, including the Clinton plan. Very duplicitous. Very sad.

When you correct for both gimmicks, counting both on- and off-budget costs over the first 10 years of implementation, the total cost of ObamaCare reaches — I’m so sorry about this — $6.25 trillion.

About Terry Crowley