Healthcare Players Promise Big Savings
From Rich Lowery at National Review Online:
Groups like America’s Health Insurance Plans and the Pharmaceutical Research and Manufacturers of America — key players in defeating Hillary Care in 1994 — sent Obama a letter voluntarily offering to control costs. They can’t spell out with specificity how they’ll conjure up $2 trillion in savings during the next decade, but that’s beside the point.
Does this mean the members of groups like America’s Health Insurance Plans and the Pharmaceutical Research and Manufacturers of America have been overcharging something on the order of $2 trillion over the last decade? If they knew how to save such a vast sum of money, why didn’t they mention it before? Lowery continues:
Groups that could be expected to resist the further nationalization of health care are shouldering their way to the bargaining table in the hopes of protecting themselves from the worst of legislation they consider inevitable. For a president who made a cottage industry of hope during his campaign, Obama is benefiting from rank fear in his dealings with potentially recalcitrant business interests, from Chrysler’s secured creditors to the health-care industry — get on board or get run over.
While I don’t support most of the President’s healthcare reforms, in fairness it should be noted that inevitable legislation is a response to rising healthcare costs; the decline of primary care; and less and less coverage via higher copays, prior authorizations for prescription drugs, precertifications for imaging studies, or simple refusals to pay for needed procedures even after the patient and their employer have funneled a fortune in insurance premiums to a health insurance company that simply wants to keep the money and not provide service.
Much of the socialist reform the Obama administration is implementing — yes, folks, it’s socialism; deal with it — is a reaction to failures of capitalism. I’m a believer in the free market and I hate to see the administration dismantle American capitalism. But something like this was bound to happen in an America where industries fail to deliver, whether it’s affordable healthcare or a fuel-efficient automobile. And, of course, the executives of failed companies are not merely rewarded for failure but lavished with riches for it.
The creep — now more of a brisk walk — of socialism is not the disease, per se. It’s an opportunistic infection. Modern America’s dysfunctional pseudo-capitalism is where the true pathology lies.
This entry was posted on May 13, 2009 at 12:54 am and is filed under Economics of Health Care, Health Care Policy with tags Economics of Health Care, Health Insurance, Obama, PhRMA, Socialism. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.