Dem Source: CBO Says Health Bill Cuts Deficit, Costs $940 Billion

[NJmaverick]

A Democratic source provides TPM with the CBO's final top-line numbers on the health care reform bill--the cost-estimate of the Senate health care bill as amended by a soon-to-be-released reconciliation bill. The findings, as expected, keep the bill in line with the Senate bill's stand alone score:

The bill would reduce the deficit by $130 billion in the first ten years, and potentially by $1.2 trillion in the second ten years (though CBO always warns that projections into the second decade are extremely unpredictable).

According to the source, CBO finds that the bill reduces annual growth in Medicare expenditures by 1.4 percentage points per year, extending Medicare's solvency by at least 9 years.

And, in a small, but significant improvement over the Senate bill, the combined package will expand health insurance coverage to 32 million Americans, as opposed to the Senate bill's 31 million.

http://tpmdc.talkingpointsmemo.com/2010/03/dem-source-cbo-says-health-bill-cuts-deficit-costs-940-billion.php

[Tippy]

1. K&R.....Looking Good..Think I will call my Congressman and give him the news...

[daleanime]

2. There by skinning....

1 million more Americans.

[Tippy]

3. Biden sure looks happy...reading the. CBO release

http://twitpic.com/19bvnb

[notesdev]

4. Wasn't reform supposed to save us money?

If the cost of health care is going to continue to rise, why is this bill desirable at all?

Their JOB was to reduce the costs of health care. Not just for the fortunate few targeted for subsidy, but for ALL of us.

This bill is BULLSHIT. Industry-written, corrupt, pork-laden, opaque, back-room dealing BULLSHIT.

[NJmaverick]

5. What is "bullshit" is the false concept that health costs rising less

is the same as health care costs are going to continue to rise. All prices continue to rise, what the bill does is reduce the increase.

[dkf]

6. Just like all the jobs we saved/created Wow look at the great unemployment rate! Not.

[NJmaverick]

8. Exactly like that. The stimulus bill prevented 15% unemployment

so to point at 10% and call it a failure would be disingenuous

[dkf]

10. The real unemployment rate is higher than 15%

Closer to 17 I believe

And when you promised your stimulus bill would keep it at 8% that is simply not good enough.

[NJmaverick]

12. There were no promises made and you know that, and your "real rate" comments

are intended to distract and muddy the issue. Bottom line is the stimulus worked and this bill will as well. You can't change the facts because they don't match your personal position and beliefs.

[dkf]

14. It worked somewhat but not as well as intended.

The job creation bills were poorly executed what with an 8 month lag to determine wages in every state and other bureaucratic inefficiencies. The only jobs that were saved were public sector jobs as the feds sent money to the states to supplement their budgets.

That's the safest place to be nowadays. Public employees get paid more than private employes you know. And they get to keep their jobs when everything else is collapsing. So far at least.

[notesdev]

9. Let me tell you what will reduce the increase

The laws of mathematics will take care of it, because if the increase y/y keeps going like it is, it won't be long before it consumes the entire economic output of the nation.

A reduction of increase is not a solution. Cost are already way too high and are not sustainable even if future increases are zero, in this deflationary environment.

There needs to be a concerted effort to get all the people who are not patients and not providers and have no compelling reason to be involved in those doctor-patient relationships out of the picture. This bill locks them into the picture so that even mathematical economic necessity can't get them gone.

I can think of a one-paragraph law that would instantly drop prices for nearly everyone - allow companies to offer health insurance in other states, break up the state-by-state monopolies and oligopolies. Once people can choose not to do business with a company they become a lot more aggressive in offering good prices.

[NJmaverick]

11. Your solution came straight out of the GOP proposals

<<I can think of a one-paragraph law that would instantly drop prices for nearly everyone - allow companies to offer health insurance in other states, break up the state-by-state monopolies and oligopolies. Once people can choose not to do business with a company they become a lot more aggressive in offering good prices.>>

This along with tort reform are the heart of their proposal. Of course if we enact these reforms the consumers are screwed as companies would purchase their insurance from the state with the most anti consumer standards and everyone gets short changed (with the exception of the company's bottom line).

[notesdev]

15. Simple economic fundamentals

More choices, lower prices. Where there is no choice prices do what we see happening in health care. Do you remember what it was like when AT&T was the only phone company?

The other thing we need to do is break the tie between employment and health care. There is no reason that losing one's job should mean also losing one's access to health care, and there is no reason why a person should be forced into particular plans just because that is the take-it-or-quit offer put on the table.

What this leads to is a situation where there is zero downwards price pressure. Who cares what it costs if you don't pay for it? Supply and demand 101 here, an immutable law of behavior.

The only realistic and proven workable solution (one that does not require unfulfillable promises to be reneged upon decades in the future by the poor schmucks who would have to make good on these promises) is to apply consistent downward price pressure. The debate should be over how to apply that pressure, not how to raise the money so that we can continue to feed the monster of exponentially-growing cost bases.

Continuously growing costs is not an option - we already spend more than anyone else does. It's time to cut the fat from the system.

[dkf]

13. Insurance regulation is done by the states. I don't know how Missouri for example will police

Policies sold in say Hawaii. What interest would the Missouri commissioner have in protecting the people of another state. Or is the commissioner in Hawaii supposed to bone up on Missouri laws and Texas laws and California laws?

Unless you are proposing an entirely new regulatory structure.

[dkf]

7. They did this by increasing the Cadillac tax.

The unions are such stooges. They will threaten to withhold support for any dem who doesn't agree to tax the unions benefits. Oh the irony!

Hospitals get a backroom deal for no public option. Pharma gets a deal for no drug importation nor pooled purchasing by Medicare.

The unions get a tax on their hard won benefits.

Fah it's a joke.