For those of you cheering the passage of ObamaCare

This is just a little message to the minority that supported this bill and believe that America will benefit from the narrow passage that occurred several days ago.  It would appear that the primary celebration stems from the idea that we will now be insuring those millions who are uninsured and the secondary celebration from the idea that we will now remove pre-existing conditions. 

While common sense dictates that there is no such thing as a free lunch, less common sense does not deal with the question of why more insurance is the panacea.  So assuming that it is, a concept terribly flawed, then the cost of insurance will rise.  However we must simply observe what is happening today to determine the course of our future direction.  Currently the majority of Americans who have insurance, obtain it via their employers.  This already skews and distorts the perception of most Americans as to what the real cost of health care is and something I once covered in an examiner article.  The distortion stems from the idea that many Americans can buy comprehensive and good quality insurance coverage with minimal co-pays for a fraction of the cost.   Consumption of health care occurs at a dramatic rate because the costs appear to be trivial.  Unfortunately the costs are trivial because the employer is taking the brunt of the hit!  Yes, the federal government offers subsidies on a massive scale to employers, but the costs are tremendous.  These costs are then taken out of YOUR paycheck via massively reduced wages.  So yeah, you are enjoying health care at what appears to be an affordable rate, but you have no idea how much you are really paying, no freaking idea. 

This consumption then leads to higher prices which then leads to higher premiums which then leads to higher costs for the employer, and so goes the vicious circle.   Combine that with 90 million people receiving health care at below market costs through Medicare/Medicaid and you have a massive cost problem, a problem created and exacerbated by the government.  Everyone hates the insurance companies and rightfully so, because they exist on the principle of rationing!  They have to ration to survive, that is why pre-existing conditions exist and caps are put in place.   Yet blaming for profit corporations for our problems is not only ignorant, but precisely what the liberal elites want you to do.   Stop being a zombie and observe, the situation is far easier than you could possibly imagine.  If you want to explore why the FDA costs Americans over 50 billion in wasted costs while allowing the death of thousands more, then be my guest, google is your friend. 

So what will ObamaCare do?  Employers will be forced to take on additional costs and that is a fact.  These costs will translate into either less hiring or stagnant wages or both.  Stagnant wages, by the way, in the face of the central bank printing machine is a systematic tax.  This is why the Bush years sucked and this is why they will continue to suck.  Perception is one thing, understanding the core of the matter is another. 

Thus, in the face of mounting unemployment, credit contraction and shrinking business capacity we have added another burden, a burden that can result in only one outcome - more costs.  More costs will result in persistent unemployment, stagnant wages, lower buying power, further business contractions and more economic hardship.  Meanwhile health care will become less affordable for all.  This is what you are cheering for.  Congratulations, I hope you feel very good about yourselves.

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