The Only Problem With State Run Free Health Care
With the Democrats largely seeking to bury or evade Iraq as an issue
(and using the NIE as an excuse to evade the Iranian threat as well),
they will make a concerted attempt to turn the 2008 election into a
contest purely over domestic issues--what David Brooks is already
calling "a postwar election."
So what domestic issue will be the centerpiece of the Democratic
campaign? The answer is likely to be socialized medicine, with all
candidates proposing some form of major incremental step toward a
government takeover of health care.
This has already begun on the state level, most prominently under two
nominally Republican governors: the system passed in Massachusetts
under Mitt Romney, and the system being proposed in California by
Arnold Schwarzenegger.
Fortunately, however, these attempts to socialize medicine at the
state level are running into major problems. Free health care, it
turns out, has to be paid for by someone, and most recent proposals
are too obvious in how they make us pay for it: imposing a potentially
unlimited requirement on the individual to purchase a
government-dictated health insurance policy. (According to the New
York Sun article below, this obviously dreadful idea was first hatched
by a conservative think tank.)
This has caused Governor Schwarzenegger's plan to run into resistance
from both the left and the right, and the California plan is viewed as
a test case for the political prospects of any similar scheme on the
national level.
"Health Insurance Issue Sparks Fight Among Democrats, Bogs Down
Schwarzenegger," Josh Gerstein, New York Sun, December 13 The issue of
requiring individuals to purchase health insurance is triggering an
escalating fight between the top contenders for the Democratic
presidential nomination even as the same question is bogging down
Governor Schwarzenegger's plan to make sure all Californians are
insured....
In the presidential race, Senator Clinton's campaign and a variety of
prominent commentators have gone after Senator Obama of Illinois for
not including a so-called individual mandate in his plan to overhaul
health care coverage. However, in California, some labor unions and
liberal groups are attacking Mr. Schwarzenegger precisely because his
plan would force individuals to purchase insurance, while making no
promises about what that insurance would cost.
"If you're not limiting what private insurers can charge, then that
is, in the end, an unlimited burden on individuals," Ms. Balber said.
She said such a mandate, without regulation of premiums, could also be
a bonanza for private health insurance providers....
A policy analyst for the California Labor Federation, Emily Clayton,
said the individual mandate was the key sticking point in discussions
over Mr. Schwarzenegger's plan. "It's the biggest problem," she
said....
A conservative think tank, the Heritage Foundation, and a former
Republican speaker of the house, Newt Gingrich, were early proponents
of requiring individuals to purchase health insurance. However, in the
current election cycle, Republican presidential candidates have
shunned the idea. Even the former governor of Massachusetts, Mitt
Romney, who once touted an individual mandate as part of his state's
health reforms, has soured on it.
For his part, Mr. Schwarzenegger is now dealing with a new headache.
The state's estimated budget deficit has unexpectedly ballooned to $14
billion.
"Schwarzenegger has no money," Mr. Cutler observed. "He's got to
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