Obamacare is like the Iraq war

“The Iraq War cost $1 trillion and produced a quagmire abroad. Obamacare will cost $1 trillion and will create a quagmire at home” We need an exit strategy declares the always excellent Reason magazine.

It isn’t affordable:

  • major insurers warned of double-digit premium hikes
  • the Society of Actuaries estimated that costs will rise 32 percent
  • MIT’s Jonathan Gruber admitted that his rosy projections were wrong. Gruber’s revised estimates now show premium hikes of nearly 20 percent by 2016.

It won’t produce universal coverage:

  • Obamacare has created perverse incentives that will encourage employers to drop coverage
  • small businesses will choose to stay small (under 50 employees) to avoid the mandate to provide insurance.
  • large businesses will pay the small penalty rather than the high expense of insurance
  • the individual mandate is easily avoided
  • “guaranteed issue” means that individuals can wait until sick to buy insurance
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