Eventually, no matter hard one tries to wish it away, reality will smack you in the face. Hard.
As predicted was inevitable, today the Spanish newspaper La Gaceta runs with a full-page article fessing up to the truth about Spain’s “green jobs” boondoggle, which happens to be the one naively cited by President Obama no less than eight times as his model for the United States. It is now out there as a bust, a costly disaster that has come undone in Spain to the point that even the Socialists admit it, with the media now in full pursuit.
La Gaceta boldly exposes the failure of the Spanish renewable policy and how Obama has been following it. The headline screams: “Spain admits that the green economy as sold to Obama is a disaster.”
According to the Spanish government, the policy has been such a failure that electricity prices are skyrocketing and the economy is losing jobs as a result (emphasis added):
The internal report of the Spanish administration admits that the price of electricity has gone up, as well as the debt, due to the extra costs of solar and wind energy. Even the government numbers indicate that each green job created costs more than 2.2 traditional jobs, as was shown in the report of the Juan de Mariana Institute. Besides that, the official document is almost a copy point by point of the one that led to Calzada being denounced [lit. "vetoed"] by the Spanish Embassy in an act in the U.S. Congress.
The presentation recognizes explicitly that “the increase of the electric bill is principally due to the cost of renewable energies.” In fact, the increase in the extra costs of this industry explains more than 120% of the variation in the bill and has prevented the reduction in the costs of conventional electricity production to be reflected on the bills of the citizens.
Despite these facts, which quite frankly have been known for quite some time, the Obama administration is still planning to move ahead with its own policy based explicitly on the Spanish one. As Horner states:
That fight [over the "green economy" policy] begins anew next week with the likely Senate vote on S.J. Res. 26, the Murkowski resolution to disapprove of the Environmental Protection Agency’s attempt to impose much of this agenda through the regulatory back door without Congress ever having authorized such an enormous economic intervention.
Just as with the ObamaCare boondoggle that was rammed into law despite its (a) known problems that are only now being admitted to, (b) real costs that are only now becoming evident, and (c) unacceptability to the vast majority of Americans, Obama is going full steam ahead with this “green economy” nonsense. Regardless of facts or reality, this administration is dead set on re-creating America in the image it likes best (i.e. European social democracy), regardless of the costs. So long as we end up with all the bells and whistles that are the hallmarks of our European betters (e.g. universal health care, carbon taxes, depleted military, enhanced welfare state, overwhelming government controls of the economy, sufficiently apologetic “transnationalist” foreign policy), the actual results of that transformation are unimportant. We may end up an economic basket case a la Greece, but hey, at least we’ll have all the nanny-state accouterments necessary to commiserate with the cool European kids.
It’s gotten to the point where pointing out that the emperor has no clothes only results in naked orgies of Utopian spending. This cannot end well.
When the office of President was created in 1787, its primary function was to be the face and voice of the nation to the world. Above all else, the executive branch represents Americans in the diplomatic and, when necessary, martial contexts to friend and foe alike. Given the foregoing, what exactly are we to make of Obama aligning himself with Mexican President Felipe Calderon against citizens of the United States?
Mexican President Felipe Calderón, arriving at the White House for a state visit, wasted no time today criticizing Arizona’s new immigration law as unfair and discriminatory.
The law makes it illegal to be in the United States without permission, and requires police to demand documentation from anyone suspected of doing so [ed. - Wrong, on both assertions]. Such a law, Calderón asserted at a Rose Garden news conference with President Barack Obama, will subject Mexican citizens to discrimination and was created so that people who “work and provide things to this nation will be treated as criminals.”
Obama also condemned the law, and left open the possibility he’ll try to block it.
Leaving aside the editorializing about Arizona’s law in this “reporting,” it’s a bit puzzling as to what Calderon is even complaining about. First of all, his country has far more draconian laws regarding illegal immigration than the U.S. Secondly, there is a real question regarding whom he thinks he represents. As Allahpundit noted:
I’m not sure which Mexicans Calderon’s presuming to speak for. If he means Mexican citizens who are in the country legally, fair enough. If he means illegals, i.e. if he’s actually complaining on behalf of people who aren’t even supposed to be here, his balls are even brassier than I thought. And if he means Americans of Mexican descent, he’s belittling Obama’s own authority. Last time I checked, if anyone’s going to do any diplomatic conveying on behalf of U.S. citizens, it’s the president of the United States.
What’s really sad is that, of the two heads of state, Calderon is the only one actually looking for the interests of his own people. For his part, Obama stood firmly against his own citizens and with the interests of another country:
President Obama left little doubt Wednesday that his administration will challenge Arizona’s divisive new immigration law, saying the measure “has the potential of being applied in a discriminatory fashion.”
After a private meeting with Mexican President Felipe Calderon in the Oval Office, Obama denounced the state law cracking down on illegal immigration, and he also sent a clear message that a review led by Justice Department lawyers is likely to culminate in legal action.
Obama said that “a fair reading of the language of the statute” suggests those who appear to be illegal immigrants could be “harassed or arrested.”
Er, wouldn’t a “fair reading” involve, y’know, actually reading the law? To date, no one in the Obama Administration has bothered to do so, although they have all been quite ready to castigate it anyway.
The truly disturbing thing, however, is the sheer abdication loyalty (not to mention responsibility) on the part of our chief executive, by taking a hostile stance against those whom Obama (nominally) represents, all in support of the interests of the foreign nation most responsible for our border mess in the first place. It’s almost as if Obama thinks he represents the rest of the world in its dealing with Americans.
Perhaps, when Obama finally gets around to reading SB-1070, someone should slip a copy of the Constitution in there as well. He seems to have forgotten about … if he ever cared in the first place.
A massive oil spill in the Gulf of Mexico has prompted a large coordinated response from the owner of the rig, BP, and the U.S. government. President Obama addressed the issue in a short speech yesterday where he said:
Earlier today, DHS Secretary Napolitano announced that this incident is of national significance and the Department of Interior has announced that they will be sending SWAT teams to the Gulf to inspect all platforms and rigs. And I have ordered the Secretaries of Interior and Homeland Security as well as Administrator Lisa Jackson of the Environmental Protection Agency to visit the site on Friday to ensure that BP and the entire U.S. government is doing everything possible, not just to respond to this incident, but also to determine its cause.
I was immediately puzzled when I first heard this yesterday. Why on Earth would the DOI have SWAT (“S”pecial “W”eapons “A”nd “T”actics) Teams? What exactly would they need them for, and why would they be dispatched to “inspect” oil rigs in the middle of the Gulf? I was not alone in my puzzlement:
In an odd turn, Obama announced he’d be sending SWAT teams out to all oil rigs and platforms in the Gulf to inspect them, as pointed out by RealClearPolitics. We’re not sure what a Special Weapons And Tactics team is going to do on an oil rig but we’re pretty sure it’ll make good fodder for Tom Clancy’s next book.
I have to believe that Obama was being colorful in his language instead of literal. I checked the DOI website and could find no announcement about “SWAT teams” or any mention of such teams whatsoever. So, it must be the case that the man whose speeches cause tingles to run down the legs of newscasters, oceans to recede, and Nobel Prizes to fall from the sky simply misspoke.
One interesting thing to note is that DHS Secretary Janet Napolitano’s declaration of the oil spill as an incident of “national significance” brings the whole mess within her Department’s purview. That of course allows all sorts of resources not otherwise available (i.e. money) to be employed in the cleanup, but it also raises the question as to what exactly the limits of the DHS are. Apparently they are quite willing to spend gobs of money and effort (and possible deploy SWAT teams!) to tackle an invasion of viscous minerals upon our southern shores, but are completely uninterested in doing anything about an invasion of vicious criminals upon our southern border, other than to challenge the right of individual States to defend themselves. Perhaps Arizona should spill a bunch of oil along the border and see what happens.
The bailout of Greece may not work. Spain is teetering on the edge of serious financial doom. The Euro is taking a beating. And the banks of Europe are not looking too healthy overall. Meanwhile, here in the States, unfunded government debt, already expanding at an unprecedented rate, is set to explode. What do all of these things have in common? They are the direct result of expanding the welfare state without any means of actually paying for all of it.
In truth, there is never a way to pay for expanding the welfare state because, while wealth creation isn’t a zero-sum game, the population of wealth-creators is; after all, not just anyone can create electricity, telephones, heart medications, MicroSoft, Wal-Mart, or even pencils without some know-how, sweat and inspiration. If that were possible, then wealth creation could never be retarded, regardless of the impediments. Some wise, noble, and completely selfless individual would always emerge to drive the economy forward. Alas, self-interest trumps all, without which wealth-creation is for the horses.
No matter how ingenious the plan, or divine the motives, the only way for governments to fund the welfare state is to tax the wealth-creators. As even the most Marxist of intellectuals knows, if you want less of something, then tax it. This is why cigarettes are levied against in ridiculous proportions, and why carbon taxes are considered (by some) to be the savior of our planet. Well, taxing wealth-creation works exactly the same way: tax it more, and you will get less of it. Which leads to the inexorable conclusion that, as the governments of the world sink deeper into fiscal crisis, the looters will be coming en masse.
Does that mean that we are in for another Great Depression? Not necessarily. In fact, I predict that no such thing will occur. For starters, we have many institutions in place today that didn’t exist in the 1930′s such as the FDIC, Social Security, Medicare, the IMF, and the World Bank. Some of these things are arguably beneficial in that they smooth out the rough patches that economies inevitably encounter. The U.S. economy, for example, may not have realized the devastation it did if old people, like McQ, could have survived without taxing their families’ resources so much, or the FDIC had been in place to quell bank runs. Maybe. But more importantly, in this day and age our politics and law-making bodies (and those of every democratic society) are dominated by those whose own self-interest is firmly grounded in the ability to buy votes. That ability is highly dependent upon feeding the welfare state, since the vast majority of votes are bought from those who don’t create electricity or heart medications. This is why politicians of all stripes won’t take steps that would decrease the welfare state, because to do so will cost them votes — to the politician who promises more largesse at the expense of whatever hated rival is being villainized at the time. Accordingly, the odds are rather stacked against wealth-creators continuing to employ their skills in service of the very state that punishes them.
Instead of the Great Depression, Part Deux, I would predict that the elites (those, and their friends, who hold the power to dole out goodies for votes) will shuffle the deck just enough to ensure that they stay in favor, while allowing the overall health of the economy to softly fade into oblivion. They are like Dr. Kevorkian administering to capitalism. The ability to create wealth will slowly continue to be arrogated to the governors and “experts,” while the welfare state expands in decrescendo. Eventually, we will be left with something akin to the Ottoman Empire: all power and glory in name only, inside a rotting shell, harkening back to a time so dissimilar as to be unworthy of the title. What’s left will be hopeless, farcical and cruel, and will not have the slightest ability to nurture the welfare state that started it all. Perhaps the “Long Morose” would be a better title.
Irrespective of my gloomy predictions, there simply isn’t any question that, at some point, the beneficiaries of the great welfare state will have to take a bath. Most likely, that day will come when everyone jumps in the tub together. Until that time, prepare for the politically powerful to loot the wealth-creators out of existence in order to pay off the welfare beneficiaries. Eventually the only ones left to take that bath will be the filthy and the unwashed.
This will go down in history as an epic FAIL:
Britain’s airspace was closed under false pretences, with satellite images revealing there was no doomsday volcanic ash cloud over the entire country.
Skies fell quiet for six days, leaving as many as 500,000 Britons stranded overseas and costing airlines hundreds of millions of pounds.
However, new evidence shows there was no all-encompassing cloud and, where dust was present, it was often so thin that it posed no risk.
The satellite images demonstrate that the skies were largely clear, which will not surprise the millions who enjoyed the fine, hot weather during the flight ban.
Jim McKenna, the Civil Aviation Authority’s head of airworthiness, strategy and policy, admitted: ‘It’s obvious that at the start of this crisis there was a lack of definitive data.
‘It’s also true that for some of the time, the density of ash above the UK was close to undetectable.’
Is there any surprise as to exactly who was responsible for this little mistake?
The National Air Traffic Control Service decision to ban flights was based on Met Office computer models which painted a picture of a cloud of ash being blown south from the Eyjafjallajokull volcano.
These models should have been tested by the Met Office’s main research plane, a BAE 146 jet, but it was in a hangar to be repainted and could not be sent up until last Tuesday – the last day of the ban.
Just think, but for a coat of paint, thousands of Britons could have been home with their families, commerce could have gone on largely as usual, and airlines (which operate on paper-thin margins as it is) would not be out tens of millions of dollars. Given the notorious precision of the models employed by the Met Office to predict weather, perhaps it would have been wise to send that plane up sans its shiny new paint job? Just a thought.
I guess we should just all be thankful that we’re not relying on the expertise of the Met Office to push broad new government powers. Based on this incident, one could imagine how the world economies might come to a grinding halt, and all based on nothing but an illusion coughed up by a computer model. Well, thank goodness, that could never happen.
[HT: HotAir HL]
I just received this via email, as I assume many others have or will, and I’m not quite sure what to make of it. I did receive it from someone who’s sent me reliable info before, but this is awfully explosive (if in fact real).
Personally, while I’ve always found it suspicious that Obama went to such great pains to hide his birth certificate, I just figured it was for some personal reasons (e.g. parents weren’t married) rather than any eligibility issues. But now I have to question that.
If this discovery turns out to be the real thing, does that mean we’ll be singing “Hail to the Chief” to … President Biden? (Gulp)
(click to enlarge)
Stay tuned for updates …
Senate Republicans caused a major stir Thursday when they told reporters that the parliamentarian had informed them that the Senate bill needed to be signed into law before lawmakers took up a sidecar bill to fix it.
But according to reporting by POLITICO’s David Rogers, the accounts aren’t accurate and misconstrue what the Senate parliamentarians have said. That is that reconciliation must amend law but this could be done without the Senate bill being enacted first. “It is wholly possible to create law and qualify law before the law is on the books,” said one person familiar with situation.
For example, if the big bill itself amends some Social Security statute, reconciliation could be written to do the same –with changes sought by the House. Then if reconciliation is passed and signed by President Barack Obama after he signs the larger bill, the changes made in reconciliation would prevail.
This jives with what Pulse sources were saying soon after the first wave of stories hit – in essence, don’t take the reported parliamentarian’s declaration to the bank.
If this report is correct (and there are some issues with it explained below), then we are essentially in the “Yes, No” scenario:
Should the parliamentarians decide that the House must pass the Senate bill, but that the president does not have to sign prior to the reconciliation bill being considered, then the House can basically hold the Senate bill hostage while working on the fixes. It’s not entirely clear how long Pelosi could do this (how soon after voting does she have to enroll the bill? What about the ten-day limits re passage/”pocket veto”?). However, it would enable to the House to get a reconciliation bill through the Senate before sending the Senate bill to Obama, thus ensuring that whatever happens during reconciliation doesn’t undermine any Representative’s “yes” vote.
I always thought that this was the most likely scenario, but not being an expert in these matters I couldn’t, and still can’t, say for sure.
Yet, something from the Politico piece strikes me as a bit off, constitutionally speaking. Specifically, this quote (bolded below) doesn’t make any sense:
That is that reconciliation must amend law but this could be done without the Senate bill being enacted first. “It is wholly possible to create law and qualify law before the law is on the books,” said one person familiar with situation.
I am almost certain that this is not correct. The Constitution is pretty clear on this matter:
Every Bill which shall have passed the House of Representatives and the Senate, shall, before it become a Law, be presented to the President of the United States; …
Art. I, Sect. 7 (emphasis added)
Perhaps the anonymous source for Politico was just being careless in choice of words, and what he/she really meant was that a bill does not necessarily have to become law before it is subjected to the reconciliation process. That may be true, and that was part of what the parliamentarians were asked to rule upon. But there simply is no question that a bill, before it can become a “Law,” must be signed by the President.
In any event, provided that the Politico reporting is correct (and I think it may be), then there is still the possibility of reconciliation being used to pass ObamaCare. However, there are still a number of problems.
Bruce broke down the numbers for you this morning, which gives everyone a good sense of what the reconciliation bill, as passed by the Senate, must look like in order to get the Senate bill passed in the House. Again, whether or not the “fixes” required by House members to get their vote will actually survive the Byrd Rule part of the reconciliation process is a huge question. In addition, Republicans will have other means of attacking the bill, such as challenging its long-term budget effect which could scuttle the entire thing. So, not only do the wavering House members need to be assured that the Senate will vote for their fixes in the reconciliation bill, they also have to know that those fixes will survive the process, and that the reconciliation bill as a whole will be capable of being passed under the budgetary constraints peculiar to such legislation. That’s a whole lot of “if’s” that need to be answered before the Senate bill comes to the floor for a vote.
The only thing that is immediately clear in all of this is that Democrats have absolutely zero respect for the Constitution, democratic principles, or this republic. They sure as hell don’t give a damn about Americans. No matter what the parliamentarians rule, I still expect Pelosi and Reid to jam something down our gullets and indignantly demand that we thank them for it.
UPDATE: It seems as though the House leadership agrees with the GOP interpretation of the Senate parliamentarian:
House Speaker Nancy Pelosi (D., Calif.) today acknowledged that the Senate parliamentarian’s ruling precludes the House from passing reconciliation fixes to health-care without first passing the Senate bill. Pelosi told reporters she will do just that:
“The bills that have passed, ours with 220 in the House, theirs with 60 in the Senate, we’ll be acting upon the Senate bill with changes that were in the House bill reflected in the reconciliation. So in order to have the Senate bill be the basis and build upon it with the reconciliation, you have to pass the Senate bill, or else you’re talking about starting from scratch. So we will pass the Senate bill. Once we pass it, the President signs it or doesn’t, it’s – people would rather he waited until the Senate acted, but the Senate Parliamentarian, as you have said, said in order for them to do a reconciliation based on the Senate bill, it must be signed by the President.”
Steny Hoyer offered a similar conclusion:
Separately, on the House floor today, Eric Cantor pressed Steny Hoyer on the issue, asking Hoyer whether it’s his position that the Senate bill “must be signed into law before the Senate can even take up the reconciliation package.”
“I think the gentleman correctly states the Senate parliamentarian’s position,” Hoyer replied.
For those keeping score, we went from “Yes, Yes” to “Yes, No” back to “Yes, Yes” and all the while Pelosi is insisting that ObamaCare will be passed. Soon. Very, very soon. Which probably means that the Slaughter Rule will brought into the game … and I just can’t even fathom how that sort of extra-constitutional procedure will play out. This is getting more confusing than wearing a mirror-suit in a house full of mirrors.
Yesterday it was reported that the House and Senate parliamentarians were asked to rule on what exactly the process needed to be for a reconciliation bill to get passed regarding ObamaCare. As I stated, also yesterday, if the answers to the questions, does the House have to pass the Senate bill and does Pres. Obama have to sign it before the reconciliation bill can be considered, are “Yes, Yes” then ObamaCare is officially dead:
In this scenario, the House would have to trust the Senate to agree to its fixes, that such fixes get through the reconciliation process, and that Obama signs them into law. Meanwhile, a perfectly functional health care law will be on the books which achieves what the Senate Democrats wanted, and what Obama has staked his entire presidency upon. That would require a great deal of faith.
I don’t think the progressive caucus, the Stupak group, or many other Representatives have anywhere near that much faith in the Senate and/or Obama. And if this reporting by Roll Call is accurate, they’re going to need a whole mess of it:
The Senate Parliamentarian has ruled that President Barack Obama must sign Congress’ original health care reform bill before the Senate can act on a companion reconciliation package, senior GOP sources said Thursday.
The Senate Parliamentarian’s Office was responding to questions posed by the Republican leadership. The answers were provided verbally, sources said.
House Democratic leaders have been searching for a way to ensure that any move they make to approve the Senate-passed $871 billion health care reform bill is followed by Senate action on a reconciliation package of adjustments to the original bill. One idea is to have the House and Senate act on reconciliation prior to House action on the Senate’s original health care bill.
Information Republicans say they have received from the Senate Parliamentarian’s Office eliminates that option.
Yes, Yes We Can’t!
This is usually Bruce’s department, but I thought this was too good to pass up. Here’s Jazz Shaw relating what’s he’s discovered about the Tea Party movement by actually meeting Tea Partiers:
The point is, meeting with tea party supporters has been a surprising experience. It’s not politics as usual and the old rules about Red vs. Blue and D vs. R don’t apply. Like any large gathering, you’ll find a couple of people with some more fringe outlooks, and that seems to be who the television cameras focus on. (We had one couple at a recent meeting who were obviously birthers and wanted to ask about Obama’s birth certificate, but they were quickly shushed by the rest of the crowd.) But for the most part, each group seems to carry its own distinct flavor and topics of interest. The one thing they seem to have in common is that they are unhappy with the current leadership in D.C. and they have come to play a serious game. If you think you already know the tea party movement, there’s a good chance you don’t. It’s kind of like trying to say you know the ocean. It’s big, it’s powerful, it’s rarely the same twice, and you never know exactly what it’s going to do next.
I bolded that one sentence just because it really stood out for me as crystallizing the movement as a whole. The Tea Party is all about constituents finally paying very close attention to what their representatives in Washington are doing. I’ve said before that when Americans really start to pay attention to someplace (e.g. the Middle East) or something (Federal Government), they tend to radically change it forever. That’s the “serious game” I see being played all across the country. And I think that is an unalloyed good.
BTW, read the whole thing.
Everyone’s favorite maniac congressman, Alan Grayson of Florida, introduced a bill yesterday that would quite simply open up Medicare to all citizens and legal residents of America. It is the purest “public option” proposed thus far. And it might just work.
Already the leftosphere is singing Hosannas. From Firedoglake:
As quixotic efforts go, I’ll take Alan Grayson’s HR 4789, a four page bill which “allows any American to buy into Medicare at cost.” You cannot possibly get more simple than that, it would not add one cent to the federal deficit, and it would offer people the option of purchasing Medicare (and its provider network) or purchasing an insurance product from a private company.
This evening Alan Grayson, Orlando’s spectacular and effective fighter for ordinary working families in a Congress that overwhelmingly caters to wealthy and powerful special interests, introduced the most real and straight forward healthcare reform bill that’s come up so far. Unless Obama makes the House leadership kill H.R. 4789– a distinct possibility– this should pass the House more easily than anything that’s been proposed for healthcare reform so far. And I bet it could even win cloture in the Senate! His bill offers the opportunity for everyone in the country to buy into Medicare. “Obviously,” said Grayson, “America wants and needs more competition in health coverage, and a public option offers that. But it’s just as important that we offer people not just another choice, but another kind of choice. A lot of people don’t want to be at the mercy of greedy insurance companies that will make money by denying them the care that they need to stay healthy, or to stay alive. We deserve to have a real alternative… The government spent billions of dollars creating a Medicare network of providers that is only open to one-eighth of the population. That’s like saying, ‘Only people 65 and over can use federal highways.’ It is a waste of a very valuable resource and it is not fair. This idea is simple, it makes sense, and it deserves an up-or-down vote.”
To the Huffington Post:
When Rep. Alan Grayson (D-Fla.) first became a father, his health insurance company refused to pay for the birth of the child, and Grayson had to pay $10,000.
Grayson told the House that story Tuesday during an impassioned and personal speech urging fellow lawmakers to support legislation that would allow Americans to buy into Medicare. Grayson introduced a four-page bill Tuesday that would make that a possibility. He asked would-be opponents to grant Americans the option to buy into the same health care plan that the federal government already offers.
And, of course, Daily Kos:
So instead of pontificating about how there is no SP or PO in the current HCR bill, he is solving the problem by offering a separate simple bill that would essentially do the same thing…allow Medicare for All…
There would be no pre-existing conditions and no medical underwriting, presumably the pools would be large enough to spread the risk.
There is no funding required for this since subsidies are not proposed for this bill. It would essentially be a PO starter. Then it could be added as an option to the exchange and subsidies could in theory be applied just like any other plan in the exchange.
We should support an “Up or Down” vote on this plan!!!
The bill’s genius is its simplicity, and specifically the promise to charge premiums to new enrollees, which would appear to make the bill deficit neutral. Here’s the entire text:
H. R. 4789
To amend title XVIII of the Social Security Act to provide for an option for any citizen or permanent resident of the United States to buy into Medicare.
IN THE HOUSE OF REPRESENTATIVES
March 9, 2010
Mr. GRAYSON (for himself, Mr. FILNER, Mr. POLIS of Colorado, Ms. PINGREE of Maine, Ms. SHEA-PORTER, Ms. SCHAKOWSKY, Mr. FRANK of Massachusetts, Mr. KUCINICH, Ms. EDWARDS of Maryland, Ms. WATSON, and Ms. JACKSON LEE of Texas) introduced the following bill; which was referred to the Committee on Ways and Means
To amend title XVIII of the Social Security Act to provide for an option for any citizen or permanent resident of the United States to buy into Medicare.
Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the `Public Option Act’ or the `Medicare You Can Buy Into Act’.
SEC. 2. UNIVERSAL MEDICARE BUY-IN OPTION.
(a) In General- Part A of title XVIII of the Social Security Act is amended–
(1) in section 1818(a), by striking `or 1818A’ and inserting `, 1818A, or 1818B’; and
(2) by inserting after section 1818A the following new section:
`(a) In General- (a) Every individual who–
`(1) is a resident of the United States;
`(2) is either (A) a citizen or national of the United States, or (B) an alien lawfully admitted for permanent residence; and
`(3) is not otherwise entitled to benefits under this part or eligible to enroll under this part;
shall be eligible to enroll in the insurance program established by this part. An individual may enroll under this section only in such manner and form as may be prescribed in regulations, and only during an enrollment period prescribed in or under this section.
`(b) Enrollment; Coverage- The Secretary shall establish enrollment periods and coverage under this section consistent with the principles for establishment of enrollment periods and coverage for individuals under section 1818, except that no entitlement to benefits under this part shall be effective before the first day of the first calendar year beginning after the date of the enactment of this Act.
`(1) IN GENERAL- The provisions of subsections (d)(1), (d)(2), and (d)(3) of section 1818 insofar as they apply to premiums (including collection of premiums) shall apply to premiums and collection of premiums under this section, except that–
`(A) paragraphs (4) and (5) of section 1818 shall not be applicable; and
`(B) the estimate of the monthly actuarial rate under section 1818(d) shall be computed and applied under this paragraph based upon costs incurred for individuals within each age cohort specified in paragraph (2) rather than for all individuals age 65 and older.
`(2) AGE COHORTS- The age cohorts specified in this paragraph are as follows:
`(A) Individuals under 19 years of age.
`(B) Individuals at least 19 years of age but not more than 25 years of age.
`(C) Individuals at least 26 years of age and not more than 35 years of age.
`(D) Individuals at least 36 years of age and not more than 45 years of age.
`(E) Individuals at least 46 years of age and not more than 55 years of age.
`(F) Individuals at least 56 years of age and not more than 64 years of age.
`(d) Treatment- An individual enrolled under this part pursuant to this section shall not be treated as enrolled under this part (or any other part of this title) for purposes of obtaining medical assistance for medicare cost-sharing or otherwise under title XIX.’.
There are no hidden takeovers of medical reporting systems, individual mandates, abortion mandates, or anything else. Nor is anything about pre-existing conditions, “Cadillac plans”, or any of the other issues plaguing ObamaCare at the moment. If you want to buy in, you can. If not, then so be it. So simple it’s almost irresistible. Especially when one considers the popularity of a public option in most opinion polls done over the last year. To be sure, when people are confronted with the costs of a public option, or most anything else promised via ObamaCare, they lose interest. But Grayson’s bill doesn’t have that problem, seemingly, because it’s charging premiums, and there aren’t even any provisions calling for subsidies. Again, it’s almost irresistible.
However, if we game out how this would actually work, then we start to see the problems.
First off, since the vast majority of us get insurance for ourselves and our families through our employers, we won’t likely be buying into Medicare. Nothing about Grayson’s bill changes the employer/health insurance relationship, so as long as we stay employed, we’ll remain a part of that system. Seniors, of course, are already a part of this system, so there’s no change there as well. Those most affected will be part-time employees not otherwise covered, the self-employed, the unemployed and the basically uninsurable. Other than the self-employed, the remainder of these likely Grayson bill participants are not likely to be able to afford the full cost of Medicare premiums, assuming that the government actually charges full price. So the emergence of subsidies is almost guaranteed, which will cost taxpayers even more.
Secondly, the more people who enroll in Medicare, the more providers accepting Medicare payments that will be necessary to accommodate them. Since Medicare pays doctors at a lower rate than private insurers, doctors and hospitals won’t want to take on many of these new patients, who basically cost them money. Just by way of example, get out your trusty phone book, call around for a dentist in your area who takes Medicaid payments, and see if they have any openings in the next year or two. That’s what would happen with a Medicare-for-all plan as well. Oh, and don’t forget that Medicare turns down requests for reimbursement at a much higher rate than private insurers do.
Most significantly, with a public insurer in the market place, one who can dictate prices and standards to providers, and who does not have to turn a profit in order to stay in business, the entire health insurance dynamic will be irrevocably altered. In order to stay in business at all, private insurance companies will need to join the Medicare and Medicare Advantage network, and will subject to whims and vagaries of Congress when it comes to reimbursements, executive pay, and whatever else suits Capitol Hill’s fancy (which, naturally, will be a great source of graft). Restrictions on denying coverage to those with pre-existing conditions, and mandates for covering everything from toe fungus cream to abortion will be introduced to the menagerie of legislation supporting Grayson’s simple four-page bill, until one day the idea of just taxing taking contributions from everyone’s paycheck for Medicare insurance and giving it to them “for free” is but a small step that might be done in a three-page bill. Eventually, Medicare-for-all and universal health care will be indistinguishable, including the waiting lines, “death panels” and substandard care.
Just one small, simple, four-page step. That’s all it will take. And it might just work.