Obama is Unhinged

Either President Obama has absolutely no clue how the real world works–and this is possible, as he went from academia to community organizer to politician–or he is trying deliberately to destroy the American health care system.

Fact is, businesses have spent the last three years preparing for the implementation of ObamaCare. That was passed by both houses of Congress, signed into law by the President, and upheld by the Supreme Court.

As a result, businesses have made capital planning decisions around their expected costs due to this law. They have laid off workers. They have cut workers from full-time to part-time. They have dropped coverage for certain workers because the coverage did not satisfy the requirements of ObamaCare. That dropped coverage was part of a business decision that was part of a capital plan that was negotiated with investors.

In addition, insurance companies have already made capital decisions regarding the plans that were dropped, and the addition of new, “compliant” plans. Because each state has its own rules for capital requirements, insurance companies must go to great lengths to ensure that they have the necessary reserves to cover the plans that they provide. They dropped the old plans–and added the new plans–with particular capital structures in mind.

As the old plans were dropped–and new plans added–companies made key changes in business rules, some of which are very complex. Those business rules were carried over into their respective IT systems. Developers for those systems have modified their code, made database changes, and have gone through several layers of testing to make sure the new rules are working.

Therefore, to pass a law–or, setting aside the legalities here, issue an executive order–allowing people to keep their old policies, with less than two months remaining in the year and with businesses having already made decisions with respect to capital and operations, does nothing to materially improve the situation, and in fact will only make things worse.

Fact is, even if we repealed ObamaCare today–permanently, effective immediately–a mother lode of damage has already been done. It will take years to recover from this disaster.

I am not defending the Republicans on this, however, as the Establishment has utterly failed to make a coherent case for free markets, and in fact is arguably in bed with the Democrats in their desire for fascism.

5 thoughts on “Obama is Unhinged

    • I beg to differ.

      The latest budget stalemate–against which Sen. Mitch McConnell eventually sold out–provided the GOP not only a chance to kill ObamaCare, but also to do something they have always talked about but never made a serious effort to do: balance the budget.

      On two different occasions–the beginning of this year and October–the GOP has had the chance to seize the initiative and make the case for balanced budgets and free markets. They punted.

      They also had the chance in 2011, and punted.

      In every case, Boehner and McConnell talked a wonderful talk, but ended up giving Obama almost everything he wanted.

      This is especially troubling because, Constitutionally, Boehner and the Republicans have the power of the purse. They have had three chances to throw down the gauntlet and they have passed every time.

  1. Spiritual battle over Washington pretty much looks like all the “white angels” at Starbucks getting triple lattes while “dark angels” are pillaging and burning.

    Also, Obama never really did any community organizing either. It was just another thing he took credit for and the liberal media gave him a pass on the background check.

    It is obvious that Obamacare is an intentional plan to destroy private health insurance and employer-based health insurance as the primary way most Americans pay for health delivery. Along the way, there will be MASSIVE wealth transfer to insiders. Insurance companies will make huge short term profits on their way to bankruptcy.

    • I’m inclined to agree with you on ObamaCare. I believe this was intentional, while at the same time I question how much Obama even knows about business. He’s never run one, never had to meet payroll, never had to deal with dissatisfied customers, or competing businesses who were always trying to one-up his products or services.

      Still, when I look at this, it has the hallmark of a deliberate attack on free markets.

      But damn it, Hale, why did you have to ruin my image of Starbucks? LOL

Leave a Reply

Your email address will not be published.

Connect with Facebook

This site uses Akismet to reduce spam. Learn how your comment data is processed.