Must Read from TPM's Jon Taplin: Public Health Care Option

[flpoljunkie]

Public Health Care Option

By Jon Taplin June 7, 2009

This is the objection the health insurance industry is putting forward in opposition to Obama's plan to include a public plan option in the health care reform bill.

But critics argue that with low administrative costs and no need to produce profits, a public plan will start with an unfair pricing advantage. They say that if a public plan is allowed to pay doctors and hospitals at levels comparable to Medicare's, which are substantially below commercial insurance rates, it could set premiums so low it would quickly consume the market.

So let me get this straight. It's not fair to have a public option because they don't have to make obscene profits for their shareholders and they can use the leverage of the combined group of medicare and public option customers to negotiate better fees with doctors, hospitals and drug companies.

Isn't that the point?

http://tpmcafe.talkingpointsmemo.com/2009/06/07/public_health_care_option/

[vaberella]

1. The above argument is fairly weak. There is massive unemployment that will occur too.

That's a better argument and it stunts competition. However, what balances it out is the fact that a government run system will undoubtedly open even more drops that are actually guaranteed unlike those in the private sector----which means---public option wins. Profit just goes down and especially for Big Pharma.

[flpoljunkie]

4. Have not heard anyone make that argument.

[eridani]

7. That's a bunch of crap

Once we stop carrying the burden of a bunch of useless parasites, plenty of employment opportunities open up.

If the financing of health care is a public good, then public oversight can insure that the claims processing jobs that remain will never be sent out of the country. This is true whether we hire existing insurance companies to do this work or build a separate institutional structure from scratch.

Once the burden of being robbed by expensive middlemen is removed from private and public employers, they will be able to afford to hire many more employees. The CA Nurses Study estimates that single payer could provide 2.6 million new jobs this way.

There is a growing shortage of nurses, and we should be funding more training in this field.

Private insurance will not disappear. All countries with universal health care have regulated private insurers who provide plans to fund extras not provided by the basic system.

With health care not tied to a job, people will be free to start their own businesses, or to retire early and take on second careers or community work. This will free up spaces on their former employer’s career ladder.

[avaistheone1]

8. Massive unemployment? Single payer will create 2.6 million new jobs.

Way to go single-payer.

[sandnsea]

2. Let's help them push that argument

What group is saying that again? I think we've all got some trolling to do.

"Insurance Industray says it's not fair for the government to run health care CHEAPER than they do."

Can we post that all over the internet?

[flpoljunkie]

3. That's the whole point. They are protecting their profits, and expecting Congress to do likewise.

[sandnsea]

5. People need to "get it"

I've never seen them be so blatant about it. Have you?

[flpoljunkie]

6. I think we all need to understand this is war & we are going to have to put up a helluva fight.

Barack Obama is right. If we don't get it done this year, it will not happen.

[avaistheone1]

9. I think we are getting our war on. There is a growing movement for single payer that is not turning

back. We will overcome.

NOW is our time.