Monday, July 27, 2009

Fearmongering

I love listening to all the fearful stories opponents have for health care reform:

"You don't want a bureaucrat between you and your Dr." Well, no, but I would rather have a bureaucrat than an underwriter or claims adjuster whose first priority is to reduce the cost of my treatment to the company's bottom line. Wait, isn't that a corporate bureaucrat? So what is the difference? Both are accountable to large groups of people. One group works on Wall Street. The other group works on Main Street. Which do you choose?

"Taxing the rich will hurt the economy, as it prevents investment." This is the classic supply-side economic argument as to why cutting taxes for the rich is the best idea EVER. As the past 30 years have shown, all this does is take more and more money and give it to the people that already have lots of money. Then these folks take this money and the do invest it, but its investing in more speculative areas and not tangible investment like jobs and whatnot. So then you get bubbles and crashes, like what we have seen and are currently experiencing. Supply-side economics might work if you are providing jobs that you can guarantee will not go away. That way, your employees fell secure in their jobs are are willing to spend more of their income on consumption. But when you have an economy where 70% relies on consumption, and your consumers are scared about job security and bills and they save their money, then the whole theory breaks down. Data is showing that taxing the rich won't hurt anybody. But of course, when you have lots of money, you want to keep it, and if that means you have to spend some of that money to buy your congress so that they don't tax you.

"Government should stay out of health care" Actually, the government pays more health care than the private industry through medicare and medicaid. But don't tell American citizens that.

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