“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