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JANUARY 21, 2010 | News Release by COMMONWEALTH FOUNDATION
CF Challenges Gov. Rendell to Explain What's In the Bill
Yesterday, Pennsylvania Gov. Ed Rendell told Fox News that voters oppose the current health care reform proposal because "the administration and its supporters, myself included, haven't done a good enough job explaining to people what's in this bill." The Commonwealth Foundation formally welcomes Gov. Rendell to join their efforts to educate the
DECEMBER 16, 2009 | Commentary by KATRINA CURRIE
Five Threats to Pennsylvania's Prosperity
Pennsylvania has long been one of the most economically stagnant states in the nation. For the period 1991-2008, the Commonwealth ranked 45th in job growth, 46th in personal income growth, and 47th in population growth. Pennsylvania has also faired poorly in independent evaluations of states' business climates, i
NOVEMBER 12, 2009 | Commentary by T. PATRICK BURKE
Notes on Health Care Reform
Two slightly important questions are being neglected regarding the Health Care Reform bills in Congress: their constitutionality and their morality. Are the bill just passed in the House and that to be discussed in the Senate in accord with the Constitution, and are they in agreement with the fundamental principles of justice? I would like to
Recent Blog Posts
MARCH 10, 2010
Obamacare and Deficits
In campaign-mode fashion, President Obama held a rally at Arcadia University on Monday to sell his plan for health care reform. Filled with the usual rhetoric and emotional, Obama made some many claims about the fiscal implications of the current legislation in Congress.
Probably the most outrageous claim was a bill that will cost over $100 billion dollars a year will be deficit-neutral. As David Brooks from the NY Times points out, this "neutrality" is simply a bait and switch tactic"
One of the reasons the bill appears deficit-neutral in the first decade is that it begins collecting revenue right away but doesn't have to pay for most benefits until 2014. That's 10 years of revenues to pay for 6 years of benefits, something unlikely to happen again unless the country agrees to go without health care for four years every decade.
Combine this new spending with the burdensome regulations like individual mandates to purchase insurance and fines on small-business who don't offer coverage and you have a recipe for a fiscal nightmare.
Instead , President Obama should go back to the drawing board and embrace common-sense alternatives such as allowing the purchase of insurance across state lines, medical malpractice reform and tax code reform.
posted by MICHAEL NEROZZI | 08:28 AM | 0 comment
MARCH 8, 2010
Buying Insurance Across State Lines
John Goodman summarizes the issue of interestate competition for health insurance:
Every state has mandated health insurance benefits. These are laws requiring insurers to cover services ranging from acupuncture to in vitro fertilization and providers ranging from chiropractors to naturopaths — and there are considerable differences among the states. Although often described as “consumer protections” in every legislative hearing I have ever attended, it is the special interest providers (rather than patients) who are pushing for these laws. ...
One thing that would not survive 50 state regulatory regime competition is guaranteed-issue and community rating in the individual market. In the six states that impose such requirements the vast majority of people who are relatively healthy are overcharged so that the small percent who are sick can be undercharged. This form of private sector socialism would quickly dissolve, as the healthy sought cheaper insurance under other regulatory regimes. ...
University of Minnesota economists Steve Parente and Roger Feldman estimate that cross-state purchasing of health insurance would induce 12 million more people to obtain health insurance.
posted by NATHAN BENEFIELD | 04:34 PM | 0 comment
MARCH 4, 2010
HSAs: Efficient Heath Care and Savings for State Taxpayers
A recent op-ed by Indiana Governor Mitch Daniels in the Wall Street Journal highlights the benefits his state has seen since implementing an optional Health Savings Account (HSA) for public employees. By providing a pre-paid $2,750 HSA, of which the employee had full ownership, the Hoosier state quickly began to realize its potential.
An essential ingredient contributing to the program's success was that employees keep whatever funds were left in an HSA at the end of the year. This incentivized employees to eat right and practice healthy habits, giving them more money in their pocket. The average amount left in the account at the end of the year was around $2,000 per person.
Overall, the state will save roughly $20 million due to their HSA enrollment, which is currently around 70% of all state workers. In 2009, employees with HSAs visited the emergency room roughly 67% fewer times than those employees on the traditional plans, and had a lower average prescription cost by opting for generic medications.
Instead of pushing for greater government control in health care, politicians in Washington should turn to the "laboratory" of the states for sound solutions.
posted by MICHAEL NEROZZI | 08:52 AM | 0 comment
