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In the News: Blog 01/23/2014
Why Target is dumping its employees
Target, the discount store, is ending health coverage for its part-time workforce, citing the Orwellian-named "Patient Protection and Affordable Care Act", or Obamacare. The company will offer one-time $500 payments and guide employees through the process of using Obamacare exchanges. The company says few of its part-timers, about 10%, sign up for health coverage now. What’s striking is the rationale the company gives for dumping even those people onto the dysfunctional exchanges. According to the St. Paul Pioneer Press:
In the News: Blog 01/22/2014
Improper payments, fraud and carelessness
The Milwaukee Journal Sentinel’s “PolitiFact” operation claimed the other day that I made misleading statements about fraud in government benefits programs, spending 1,200 words parsing an off-the-cuff remark I made at Pints and Politics, a casual Friday evening get-together of conservatives in Waukesha. They called my remark “ridiculous.” I won’t comment on the paper’s news judgment. When someone asked me about how the IRS would enforce the penalties in the Orwellian-named Affordable Care Act, or Obamacare, I pointed out the deficiencies in how the IRS enforces existing tax law: “Do you realize the average rate of fraud, whether it's in the Earned Income Tax Credit or Medicare or Medicaid, across the board, food stamps -- the average rate of fraud in those programs is 20 to 25 percent?”
In the News: Blog 01/13/2014
A just lawsuit over Obamacare
The Patient Protection and Affordable Care Act (Obamacare) is neither protecting patients nor making health care more affordable. It is doing real harm to real people and driving the cost of health care up, not down. Basic fairness dictates that members of Congress should be fully subject to the laws they impose on the rest of America. To sell a skeptical public on the promised wonders of Obamacare, the Democrat-controlled Congress made a big show of forcing members and their staffs off their Federal Employee Health Benefit Plan coverage and onto Obamacare-created plans. They wanted to appear happy to avail themselves of all the benefits of Obamacare and eager to comply with the letter of the law. But that was four years ago. As zero hour approached, they came down with a major case of buyer's (or should I say, seller's) remorse. That's when Senate Democrats started to panic and went running to President Barack Obama for relief.
In the News: Blog 01/12/2014
The end of the college bubble, maybe
College enrollment is down, report Richard Vedder and Christopher Denhart in the Wall Street Journal, and it shouldn’t be a surprise. The pay premium that bachelor’s degree holders earn over those without a four-year college degree is shrinking, too, while the price of college is going up and up. They write: “This phenomenon leads to underemployment. A study I conducted with my colleague Jonathan Robe, the 2013 Center for College Affordability and Productivity report, found explosive growth in the number of college graduates taking relatively unskilled jobs. We now have more college graduates working in retail than soldiers in the U.S. Army, and more janitors with bachelor's degrees than chemists. In 1970, less than 1% of taxi drivers had college degrees. Four decades later, more than 15% do. “This is only partly the result of the Great Recession and botched public policies that have failed to produce employment growth. It's also the result of an academic arms race in which universities have spent exorbitant sums on luxury dormitories, climbing walls, athletic subsidies and bureaucratic bloat. More significantly, it's the result of sending more high-school graduates to college than professional fields can accommodate.”
In the News: Blog 01/12/2014
Obamacare tech problems move down the pipeline
The Los Angeles Times reports that people who bought insurance on the “Affordable” Care Act’s exchanges are now running into trouble with insurers handling the policies. Often, insurers can’t confirm coverage, they’re behind on answering questions or haven’t issued ID numbers. “Some insurers have begun to apologize this week, acknowledging a lackluster response amid an unprecedented surge of applicants,” the paper reports. “Industry officials say the disastrous launch of the federal exchange and the ever-changing rules from the Obama administration have complicated their job and contributed to the backlog.”
In the News: Blog 01/8/2014
Innovations and the governments that squash them
Innovation is now the norm in industries, writes Gordon Crovitz in the Wall Street Journal – innovation so fast that it disrupts industries. He mentions how the free maps app on his phone has made the GPS device he bought superfluous. A new book, “Big Bang Disruption,” by Larry Downes and Paul Nunes, points out this happens a lot. As Crovitz writes: “Powerful new technologies like cloud computing and big data allow entrepreneurs to develop products and services that are ‘simultaneously better, cheaper, and more customized,’ Messrs. Downes and Nunes write. ‘This isn't disruptive innovation. It's devastating innovation.’ “Who would have thought that a mobile phone would challenge industries as varied as home phones, video cameras and flashlights? Digital alternatives undermined the business models for travel agents, restaurant guides and newspapers. Even disrupters rapidly get disrupted: Digital videogames decimated the pinball industry, but the market value of Zynga collapsed after consumers abandoned Farmville for the next new game.”
In the News: Blog 01/8/2014
So much for 'affordable'
About four million people have been added to Medicaid, the government-run single-payer health plan for the poor, since Obamacare rolled out in October. Putting people on Medicaid was a big part of how the Affordable Care Act was supposed to extend affordable health coverage. Extending coverage, in turn, was supposed to save money by cutting down on how often uninsured people went to expensive hospital emergency rooms for care instead of going to a doctor. But new findings from a top-notch study in Oregon finds that putting people on Medicaid doesn’t cut down on how often they use costly emergency rooms. It increases it, by about 40 percent. “When you make ER care free to people, they consume more of it. They consume 40 percent more of it," Michael Cannon of the Cato Institute told National Public Radio. “Even as they're consuming more preventive care. And so one of the main arguments for how Obamacare was going to reduce health care costs is just flat out false.”
In the News: Blog 01/6/2014
Why I'm suing over ObamaCare exemptions for Congress
On Monday, Jan. 6, I am filing suit in the U.S. District Court for the Eastern District of Wisconsin to make Congress live by the letter of the health-care law it imposed on the rest of America. By arranging for me and other members of Congress and their staffs to receive benefits intentionally ruled out by the Patient Protection and Affordable Care Act, the administration has exceeded its legal authority. The president and his congressional supporters have also broken their promise to the American people that ObamaCare was going to be so good that they would participate in it just like everyone else. In truth, many members of Congress feel entitled to an exemption from the harsh realities of the law they helped jam down Americans' throats in 2010. Unlike millions of their countrymen who have lost coverage and must now purchase insurance through an exchange, members and their staffs will receive an employer contribution to help pay for their new plans.
Op-eds 01/6/2014
Wall Street Journal: I'm Suing Over ObamaCare Exemptions for Congress
<b>Originally printed in The Wall Street Journal, January 6th, 2014 </b> On Monday, Jan. 6, I am filing suit in the U.S. District Court for the Eastern District of Wisconsin to make Congress live by the letter of the health-care law it imposed on the rest of America. By arranging for me and other members of Congress and their staffs to receive benefits intentionally ruled out by the Patient Protection and Affordable Care Act, the administration has exceeded its legal authority.
In the News: Blog 12/16/2013
Obamacare facts and political imagination
The Milwaukee Journal Sentinel’s PolitiFact operation over the weekend tried to “fact-check” something I said. It didn’t work out the way they wanted, apparently, so they had to be flexible to avoid saying I was right. What they tested was something I said on Brian Kilmeade’s radio show on Dec. 5. You can listen yourself – it’s in the first minute of the program. I said that the “Affordable Care Act” isn’t very affordable: “It’s certainly not affordable. In Wisconsin, I think the average that I’ve seen is, if you’re 27 years old, you’re going to be paying about 100, more than 100%, double what you paid on average, for health care. So it’s not affordable. An average plan for a family didn’t go down by $2,500 per year, it’s going up about $2,500 per year. So, I mean, it’s a totally misnamed law.”
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