Paul Krugman in his typical biased way now shouts the praises of the “remarkable success” of Obamacare.
Yes it is quite true that millions of Americans now have health insurance who, except for Obamacare, may not have coverage. The 16 million stated below includes those added to Medicaid. Only about 10 million actually enrolled through an exchange. End of positive story❗️
Here are the rest of the facts which in the final analysis will actually determine if Obamacare is a success or not.
- The estimated enrolled numbers for Obamacare for the end of 2016 has been cut in half from the original 20 million.
- Much of the low hanging fruit as it were, sick people needing coverage the most, has been gathered. The healthier people and younger people have yet to be persuaded. This is called adverse selection and unless it changes, premiums will start shooting up to cover higher than average claims.
- The claimed lower growth in premiums is a direct result of low inflation generally and plans with higher deductibles and out-of-pocket costs. However, premiums in the exchanges are actually climbing on average triple general inflation and in many cases much more.
- To keep up with growing premiums, federal subsidies will have to increase at the same rates.
- Obamacare mandates, record keeping, and tremendous administrative complexity has increased costs for insurers and employers… eventually finding its way into premiums.
- Non-profit co-op health insurers are dropping like flies.
- Accountable Care Organizations are not meeting the savings hype.
- Health care costs have not been made affordable.
- Obamacare has directly and indirectly caused employers to cut benefits thereby increasing out-of-pocket costs for many middle-class workers.
Mr Krugman knows he is smart enough to know that we have a long way to go before declaring the Affordable Care Act a remarkable success🤒
… the Affordable Care Act has been a remarkable success, especially considering the scorched-earth opposition it has faced.
First of all, a lot of people — around 16 million, the administration estimates, a picture confirmed by independent sources — do indeed have health insurance who otherwise wouldn’t. Millions more would be insured if Republican-controlled states weren’t refusing to expand Medicaid (even though the federal government would pay the costs) and generally trying to obstruct the program.
How good is the insurance thus obtained? Not perfect: despite subsidies, policies are still hard for some to afford, and deductibles and co-pays can be onerous. But most people enrolled under Obamacare report high satisfaction with their coverage, which is hugely better than simply not being uninsured. And may I inject a personal note? If truth be told, I live in a pretty rarefied, upper-middle-class-and-above milieu — yet even so I know several people for whom the Affordable Care Act has been more or less literally a lifesaver. This is, as Joe Biden didn’t quite say, a really big deal.
Oh, and have you noticed how those ads featuring people supposedly hurt by Obamacare have disappeared? That’s because none of their stories held up.
What’s more, the big Biden deal has come in below budget. Insurance premiums in Obamacare’s first two years were well below predictions. It looks as if there will be a partial rebound in 2016, but it’s still cheaper than expected. And over all, health care spending has slowed dramatically.
October 26, 2015 New York Times