Herman Cain Understands ObamaCare’s Rationing

Dr. Tracy Miller,FloydReports.com


During the last Republican presidential debate,Herman Cain argued that,as a survivor of colon and liver cancer,he would have died if “ObamaCare” had been in place when he sought critical treatment. It was a stunning statement,and it certainly underscores the real concern that people have with bureaucratic control of their health care.

Critics of the Patient Protection and Affordable Care Act (ACA)—intended to make health care access universal—claim that it would not do enough to control costs,particularly costs of government health care entitlements. This criticism is not entirely justified. The Affordable Care Act includes several provisions for controlling health care costs. Those provisions to control costs,however,will probably not be fully implemented because of a fundamental contradiction between the universal health care many Americans want and economic reality.

One of ACA’s most important steps to control costs is the inclusion of a plan to create an Independent Payment Advisory Board (IPAB),which is to consist of 15 full-time members,appointed for staggered six-year terms. The IPAB must report to Congress on how to hold Medicare spending within legislated limits. Congress is given a strict timetable to consider the board’s recommendations and vote on them or come up with alternatives that achieve comparable savings.

If all low- and moderate-income Americans are going to enjoy access to subsidized health care as envisioned by the ACA,then the government needs an organization like the IPAB to control costs. Without such an organization,or if Congress does not give it enough power,Medicare costs will continue to rise to unsustainable levels. A similar approach is needed to control Medicaid costs.

It is doubtful,however,that politicians will give the IPAB enough power to control costs like many of its proponents intended. Politicians in both parties are calling for repealing or weakening the IPAB. This is because,to be successful,the board must make tough choices to limit the most costly and least effective kinds of care. Most likely,this would require some method of rationing health care,although the IPAB is officially forbidden to make recommendations that would result in “rationing,” raise premiums,or increase the share of health care costs borne by patients. Few Americans would tolerate having their health care rationed.

Yet those who support “universal health care” without also recognizing the need to use some method to ration health care are living in a dream world. In practice,universal health care requires that no one is denied access to basic health care because of an inability to pay the cost;prices will not be used to ration care. Because health care is a scarce good,some other rationing criterion must be used instead of prices. In some countries,such as the United Kingdom,health care is rationed by having people wait their turns,with the result that some illnesses become untreatable before the patient can get the necessary treatment. For example,because of delays for colon cancer treatment in Britain,20 percent of the cases considered curable at the time of diagnosis become incurable by the time of treatment….

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1 comment to Herman Cain Understands ObamaCare’s Rationing

  • Much to my chagrin it will be the same insurance company bastards standing between me and my doctor after “Obama-care”as it was before “Obama-care”. I might add that the only way these insurance companies make money is by limiting the tests and treatment my doctor can do. You sir are either ill-informed or you are lying. Good day to you sir!

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