David Wessel via Ezra Klein:
The Urban Institute ran the do-nothing outcome through its computers, and offered three scenarios. In the best case, the number of uninsured rises to 57 million, or 20.1% of the population, from 49.1 million, or 18.4%, in 2009, most of them middle-income adults. More employers drop coverage as it grows more costly. The fraction of Americans on the government’s Medicaid and Children’s Health Insurance Program, now at 16.5%, would rise sharply to between 18.3% and 20.3% — and that’s without the much-derided “public option.“[…]
This year, Medicare and Medicaid will cost almost $725 billion, about 50% more than Congress appropriates for all domestic agencies from the National Park Service to K-12 school aid. In 2014, the cost is projected at $950 billion. Gulp!
Certainly this means that you can’t argue against health reform on the grounds that it will cause too much government … projections for adoption of the public option were always much lower than this. “Choice” and “keep your existing insurance” have no meaning in this scenario; people are getting thrown off the insurance rolls as businesses can no longer afford it. And cost controls are completely forsaken. Here, the annual costs of government-run health care programs adds up to about the same as the entire cost of health reform for a decade — the costs, mind you, completely ignoring the savings bit of the bill. How’s that for perspective?
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