Saturday, June 24, 2017

Repeal It Now

If it keeps on rainin'
The levee's gonna break
--Led Zeppelin

Extending yesterday's post, replacing Obamacare, instead of replacing it, is a fool's errand. We noted recently how insurance markets are drying up as capacity, predictably, leaves the system.

Pushing more people (read: demand) thru a system with withering supply naturally leads to higher prices (ECON 101). Bloomberg estimates that healthcare costs are likely to rise at triple the general price inflation rate. For seniors, that means spending $300,000 or more on health insurance premiums during their retirement years. Younger people, such as millennials, will shoulder a much higher cost as they subsidize health care expenditures of older people.

If the healthcare system continues to be state run, these estimates are likely to be too low.

Socialized medicine is a fantasy that will be destroyed either thru our own volition or by natural economic forces. Because those natural economic forces will take no prisoners in the name of re-balancing the system, better to repeal it now while we still have control and can avert true disaster.

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