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“Marxo-Sapiens” to the Rescue, Part 3: How is This “Paid For”? It Isn’t
Posted By Michael Rulle On November 10, 2009 @ 9:11 am In NewsReal Blog,Uncategorized | No Comments
Insurance companies will now be mere appendages of the government, offering one mandated product. Doctors, nurses, and drug companies, who are the actual providers of medical care, also will be appendages of the government, because the government will decide how they get paid. But don’t worry. I am sure there are many excellent Marxo-Sapiens who will still want to work in medicine.
All providers and consumers will have zero incentive to be creative on how best to give or get protection against health risks. All economic incentives for creativity will be squashed out of the system. Americans will have even greater incentive to consume as much “health care” as possible. Why not? We don’t have to pay for it anyway.
How is this “paid for”? It isn’t. Part of it is paid for out of higher taxes, fines and premiums. But it will never keep up. That is why future Medicare cuts will occur. But already “too big to last” Medicare expenditures are simply being transferred to this even bigger “too big to last” system. All you can consume medical care will create enormous demand even as there will be de facto price controls for the providers.
This combination, as it always has throughout history for all goods and services, will lead to shortages. Think gas lines in the 70s. Shortages lead to rationing. It also gives the government the power to decide who to “ration” to. How sure are you there will not be enormous corruption and favoritism? Corruption is a human constant. But why give a monopoly of it to the government? The answer is we believe in “Marxo-Sapiens.” Like Marx, we just assume away the problem. Every time mankind has relied on Marxo-Sapiens to come to the rescue, we end up living down on Orwell’s Animal Farm instead.
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