The U.S. House of Representatives today passed the most radical piece of legislation since the New Deal, a piece of legislation opposed by a majority of the American people. That takes guts, and I for one admire the Democrats on that score. How much courage it took is indicated by the close vote 220-215. One Republican voted for it, and 39 Democrats voted no. That 39 is close to the number Ms. Pelosi could afford to lose, which means that a big argument behind the scenes was who got the privilege of voting against the bill.
One might argue that popular resistance is based on ignorance, as most people have no clear idea what is in the bill. That would be true since no one has any idea what is in the bill. This is so not so much because of the gargantuan size of the legislation but because no one can know in advance how unelected bureaucrats will use the vast powers that the bill grants them.
Betsy McCaughey writing at the Wall Street Journal Online has a nice summary of some of the most interesting features of the bill. Consider this one:
Sec. 224 (p. 118) provides that 18 months after the bill becomes law, the Secretary of Health and Human Services will decide what a “qualified plan” covers and how much you’ll be legally required to pay for it. That’s like a banker telling you to sign the loan agreement now, then filling in the interest rate and repayment terms 18 months later.
So no one knows what a “qualified plan” will be, but if this legislation or something rather like it becomes law, we are all about to buy one.
Worries about whether you can keep your existing health insurance would be beside the point under this legislation. Likewise the notion that competition can control prices, something Democrats and the President and particular like to say, is rendered moot by the House bill.
• Sec. 303 (pp. 167-168) makes it clear that, although the “qualified plan” is not yet designed, it will be of the “one size fits all” variety. The bill claims to offer choice—basic, enhanced and premium levels—but the benefits are the same. Only the co-pays and deductibles differ. You will have to enroll in the same plan, whether the government is paying for it or you and your employer are footing the bill.
Exactly who will provide you with health insurance, your employer, a private insurance company, the government, remains to be seen. Whoever it is, the package will be the same. Nor will you have the option of opting out. Anyone who does not buy insurance, or employers who do not offer it, will be penalized. There is virtually no choice or competition remaining in this plan.
This is the “government takeover of the healthcare system” that critics have warned about. Government will determine benefits and government will determine what everyone has to pay for them. Maybe that will be palatable when we finally see what it costs each family.
The House bill will also add more than a trillion dollars to the cost of government over ten years. Even if all that cost is paid for by taxes or cuts in existing outlays, it is still a cost that the economy must bear. At a time when the public and private debt are putting big strains on job creation, that might matter.
Opposition to healthcare reform and the recent revival of the Republican Party are motivated by a distrust of the growth of government and an alarm at ballooning deficits. The Democrats had better hope that those concerns are a passing fancy.
Tags: health care, house bill, pelosi
