Saturday, March 25, 2017

Obamacare as a pre-existing condition
AKA - a now intractable entitlement

A large part of Donald Trump's successful campaign for the Presidency derived from a promise to repeal Obamacare.

Unfortunately, he also promised universal health care under the most wonderful health insurance plan we'd ever seen. He promised to keep, and even expand, the popular parts of Obamacare while repealing the unpopular parts - and at lower cost.

Consistent with those inconsistent promises, the post-election policy proposal was to keep the most costly popular parts of Obamacare. For example, coverage for pre-existing conditions, coverage for 26 year olds under their parents' family plan, and federally decreed coverages many insured neither want nor need.

The bill that Paul Ryan delivered was an attempt to satisfy Trump's promises.

"Moderate" Republicans wouldn't vote for a bill that removed pre-existing condition protection, etc.. The Freedom Caucus stood firm for repeal, and wouldn't vote for a bill with Obamacare holdovers. Trump said, "Take it or leave it."

So, is it Trump who's at fault for the bill's failure? Ryan? The Freedom Caucus?

I think it's the "moderate" Republicans in the House, but give Trump an assist. The core sin of Obamacare was to further insert government control into the health insurance market. By accepting Obamacare's core principle, Mr. Trump encouraged GOP House "moderates" to insure "repeal" would degenerate into tinkering about the edges.

Tax reform next?

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