It's worth remembering that the CBO scoring of the Kennedy-Dodd health insurance bil
l -- from which everyone is saying $1 trillion over 10 years for 16 million net uninsured people -- measures the change in the deficit
, not the cost of provision. CBO and the Joint Committee on Taxation assume that businesses who would offload their employees to the government option will pay $257 billion over the ten years in taxes (really, a kind of fine). Those covered will make some nominal payment, assumed by CBO to be $100 per person per year
. So the gross cost of coverage of a net 16 million people is about $7,993 per person per year. A recent survey by Towers Perrin
suggests corporate health care costs of $9,660 per employee, but an employee may cover several persons. (The cost for an employee only is $4,860.)
It's hard to see how this thing saves money.
For more, see Keith Hennessey
UPDATE: Also, from a blogger conference call
attended by Gary Gross:
I asked whether these gentlemen would agree with my characterization that single-payer is a �race to the bottom�. Jack Kingston cited two startling comparisons on cancer survival rates.
The survival rate for breast cancer in the United States is 84%; in Britain, it�s 69%.
The survival rate for prostate cancer in the United States is 92%; it�s only 51% in Great Britain.
That last statistic was a jaw-dropper for me. Think of the difference between 9 men in 10 surviving in the United States vs. 1 in 2 men dying of prostate cancer in the UK.
I don't know that Kennedy-Dodd is the British system, but you could argue it's one giant step towards it. Fighting back with data like that above can be effective.
UPDATE 2: K-D might already be dead
UPDATE LAST: �Maybe it's more
, but we're trying to hit a moving target here. �The bill now being discussed is different from the CBO-scored bill. �As I said this morning
, there's a heckuva fight going on over how to pay for this, and there's going to be more trial balloons floated here than an Albuquerque fiesta
Labels: economics, health care