Home
In this issue
Nov. 23, 2009
JWisdom.com: Actually, it really is all about you with Rabbi Lawrence Hajioff
Nov. 20, 2009
Rabbi David Aaron: How to make every second of your life come first
Caroline B. Glick: Whither American Jewry
Nov. 19, 2009
Binyamin L. Jolkovsky: Please Listen to this Godcast (5 minutes)
Jonathan Tobin: ADL Crosses the Line with Report Bashing Obama Critics
Nov. 18, 2009
Rabbi Yonason Goldson: What Judaism has to say about the secret of the Mona Lisa's smile
JWisdom.com: The (Jewish) Dating Game with Rabbi Lawrence Hajioff (8 minutes)
Nov. 17, 2009
Steven Emerson: How Does the 4th Amendment Impact Terror Finance Investigations?
JWisdom.com: If Frank Sinatra married Edith Piaf with Rabbi Y.Y. Rubinstein (2 minutes) Life lessons from what would be regarded as the most inappropriate lyrics ever sung
Nov. 16, 2009
The Jewish Ethicist by Rabbi Dr. Asher Meir : When borrowing is stealing
JWisdom.com: Deconstructing faith with Rabbi Warren Goldstein (9 minutes)
Nov. 13, 2009
JWisdom.com Sarah's subjective reality with Rabbi Sroy Levitansky ( 6 minutes)
Caroline B. Glick: Obama's failure, Netanyahu's opportunity
Nov. 12, 2009
The Kosher Gourmet By Marialisa Calta : A sweet sweet potato treat
JWisdom.com Does God get tired? with Rabbi Harvey Belovski ( 5 minutes)
Nov. 11, 2009
Rabbi Avi Shafran: Jews and money: When anti-Semitism isn't
JWisdom.com Marriages are not made in Heaven with Rabbi Lawrence Hajioff (VERY fast 15 minutes)
Nov. 10, 2009
Michael Doyle: Author of book exposing CAIR ordered to remove supporting documents from Web
JWisdom.com If the creation so loudly shouts the existence of the Creator, why aren't more people believers? with Rabbi Naftali Brawer (9 minutes)
Nov. 9, 2009
Mark Steyn: Shooter exposes hole in U.S. terror strategy
JWisdom.com It's never too late to have a happy childhood with Sarah Chana Radcliffe (5 minutes)
Nov. 6, 2009
Rabbi Berel Wein: Choosing to hear
JWisdom.com Zero to 1/60th: How to Empower An Hour with Gavriel Aryeh Sande (7 minutes)
Caroline B. Glick The mullahs' big week
Suzanne Fields A Fallen Wall for Fallen Man
Nov. 5, 2009
The Kosher Gourmet: Three scrumptious -- but simple -- butternut squash dishes
JWisdom.com Hidden Hints: Unlocking Faith & Prayer with Rabbi Jay Yaacov Schwartz (10 minutes)
Nov. 4, 2009
Tom Hamburger and Kim Geiger: Should prayers be covered?
JWisdom.com When God played peacemaker With Rabbi Sroy Levitansky (5 minutes)
Nov. 3, 2009
Martin Peretz: Beware, Barack. Beware, Rahm. Beware, Axelrod
JWisdom.com Are you are closet idolater? With Sara Yoheved Rigler (10 minutes)
Nov. 2, 2009
Paul Greenberg: The Holocaust is now on Facebook
JWisdom.com Abraham's Strange Change With Rabbi Yitzchok Fingerer (5 minutes)
Oct. 29, 2003
Mortimer B. Zuckerman: Graffiti On History's Walls (MUST-READ!)

Jewish World Review June 26, 2009 / 4 Tamuz 5769

On health care, Obama's dirty secret

By Rich Lowry


Printer Friendly Version
Email this article

http://www.JewishWorldReview.com | President Barack Obama knows health-care policy. Give him an hour and a half to hold forth, as ABC News obligingly did at a town-hall meeting, and he will invariably impress with his fluidity.


This makes it all the more remarkable that he often appears unable to understand how his health-care program threatens private insurance. At a recent press conference, Obama argued that the very notion of it doesn't compute: "If private insurers say that the marketplace provides the best-quality health care, if they tell us that they're offering a good deal, then why is it that the government — which they say can't run anything — suddenly is going to drive them out of business? That's not logical."


This is exceptionally brazen sophistry. Private insurers are at a disadvantage vis-a-vis the federal government because they don't have the power of the government to dictate prices to doctors and hospitals. That's what Medicare does, and why it pays less for health services than private insurers.


Surely Obama understands the competitive advantage that this confers on the government. If the public option in ObamaCare underpays providers in a similar fashion, it will charge cheaper premiums than private insurance. Employers will dump their employees into the public plan, and a massive "crowding out" will occur. The respected health-care research firm The Lewin Group estimates as many as 119 million people could migrate from private insurance to the government plan, whether Obama considers it logical or not.


Since Medicare doesn't pay hospitals enough to cover costs, they have to make up the expense by charging more to private insurers. According to Lewin, as Medicare hospital payments declined from 95 percent of costs in 2003 to 91 percent of costs in 2007, private payer rates steadily increased. A massive new government plan that doesn't pay its own way will augment this cost shift, making private insurance more expensive still and sending ever more people into the arms of the government plan.


ObamaCare, then, could unravel the entire private system very quickly. And in Obama's telling, it all would have been a strange accident of fate. All he wanted to do was reduce health-care costs, and lo and behold, he ended up with the Canada-style system no one thought politically possible. What dumb luck.


Since some 80 percent of Americans are satisfied with their health care, Obama must minimize the risk to them. This is why one of Obama's signature lines — almost up there with hope and change — is the promise that anyone who wants to keep his health insurance can do so. "If you like your health-care plan, you'll be able to keep your health-care plan, period," Obama said in his speech to the American Medical Association. "No one will take it away, no matter what."


This stark language is becoming less sustainable, though. According to the research group HSI Network, the version of ObamaCare currently before the House Ways and Means Committee would cover most of the country's 47 million uninsured, but at a cost of $3.5 trillion over 10 years and while crowding 64 million people out of private insurance. Obama wants to pretend that getting to universal coverage is an essentially costless, win-win proposition, when it will come at enormous expense and disrupt the insurance of millions of American happy with their health care.


Asked at his press conference about his frequent reassurances that people will get to keep their current insurance, Obama reached for wiggle room. He explained that the government won't "make you change plans." Well, one is thankful for little things. But Obama implicitly left open the possibility that his reform will tilt the system so that employers, on their own, unload their coverage. Which is exactly the problem, and why Obama's reform threatens private insurance.


Only if Obama successfully obfuscates this point will he get his public option. Otherwise, the chances of his big-bang change to the American health system radically diminish.

Every weekday JewishWorldReview.com publishes what many in the media and Washington consider "must-reading". Sign up for the daily JWR update. It's free. Just click here.

Comment by clicking here.

Rich Lowry Archives

© 2009 King Features Syndicate

Insight (Our Columnists)

 Arnold Ahlert
 Mitch Albom
 Michael Barone
  Dave Barry
 Tony Blankley
 Andy Borowitz
 David Broder
 Stratfor Briefing
 Mona Charen
 Linda Chavez
 Ann Coulter
 Greg Crosby
 Larry Elder
 Suzanne Fields
 John Fund
 Frank J. Gaffney
 Lloyd Garver
 Jonah Goldberg
 Julia Gorin
 Jonathan Gurwitz
 Paul Greenberg
 Lewis Grossberger
 Victor Davis Hanson
 Betsy Hart
 Nat Hentoff
 David Horowitz
 Laura Ingraham
 Cheri Jacobus
Jeff Jacoby
 Paul Johnson
 Jack Kelly
 Ed Koch
 Ch. Krauthammer
 Michael Ledeen
 John Leo
 David Limbaugh
 Kathryn Lopez
 Rich Lowry
 Michelle Malkin
 Jackie Mason
 Dick Morris
 Bill O'Reilly
 Jim Mullen
 Clarence Page
 Kathleen Parker
 Dennis Prager
 Wesley Pruden
 Tom Purcell
 Jonathan Rauch
 Celia Rivenbark
 Robert Robb
 Cokie & Steve Roberts
 Pat Sajak
 Debra J. Saunders
 Culture Shlock
 Roger Simon
 Michael Smerconish
 Thomas Sowell
 Mark Steyn
 John Stossel
 Cal Thomas
 Bob Tyrrell
 Diana West
 Dave Weinbaum
 George Will
 Walter Williams
 Byron York
 Mort Zuckerman

'Toons
 Robert Arial
 Chuck Asay
 Baloo
 Chip Bok
 Dry Bones
  Lisa Benson
 John Branch
 Gary Brookins
 John Cole
 J. D. Crowe
 John Deering
 Brian Duffy
 Everything's Relative
 Mallard Fillmore
 Jake Fuller
 Bob Gorrel
 Joe Heller
 David Hitch
 Jerry Holber
 Steve Kelley
 Jeff Koterba
 Dick Locher
 Chan Lowe
 Ranan R. Lurie
 Jimmy Margulies
 Rick McKee
 Michael Ramirez
 Kevin Siers
 Jeff Stahler
 Ed Stein
 Danna Summers
 John Trever
 Gary Varvel
 Kirk Walters

Lifestyles
 How 2
 Lori Borgman
 The Savvy Consumer
 Elder matters
 Fixit
 Dr. Peter Gott
 GET A JOB! by Marty Nemko
 Richard Lederer
 Tech Maven
 Every Monday Matters
 Nutrition Myths
 Bookmark These
 Bruce Williams
 How Stuff Works