Medicare and the Ryan Budget

Daily Business Report
Article Archives
US Economic Forecast for 2012 and the Election Year Cycle
Shop the Local Merchant Economy
Right to Work vs Union State Economies
Rational Tariffs Lower Irrational Trade Deficits
International Business - Davos Style
Banking, Housing and Mortgages
David Stockman's Viewpoint on the Obama Budget Disaster
Regulations Harm Small Business and Protects Corporations
Gas Prices as an Indicator of Energy Costs
Governments Acting as Venture Capitalists
College Education Economics
Industrial Wind and the Production Tax Credit
Medicare and the Ryan Budget
U.S. Corporate Tax Rate Consequences
Corporate Spying and Intellectual Theft
The Foolish Exporting Natural Gas Policy
A Matter of Time for a VAT Tax
Big vs Small Bank Loans
Bankruptcy Trends in the Post Meltdown Era
Money Center Banks and Stricter Financial Oversight
Electric Power Generation under NYS Article X
Growth in the National Debt
Advantages of Chinese Trade Policy
Unemployment as a Lifestyle
Immigration Hurts American Employment
Bank for International Settlements on Big Banks
Small Business Assault from Obamacare
Compound Interest and the Debt Bubble
The Federal Centralization Economy
Parking Offshore Profits Hurt the Domestic Economy
The Record of Olympic Economics
Financial Algorithmic Trading
Goldman Sachs Above the Law
The MF Global Magical Mystery Tour
Destroying Internet Freedom by Taxation
The Permanent Unemployment Economy
Jackals of Jekyll Island - Federal Reserve Audit
QE3 Blowing Up the Debt Bubble
Riots Over Rotten Apple Mania
Gap Between College Costs and Inflation
Counterproductive Minimum Wage Mandates
Derivative Meltdown and Dollar Collapse
Central Banks Game Plan: One World Currency
European Commission Single Supervisory Mechanism
Lunacy of FEMA Hurricane Insurance Subsidy
Taxmageddon Holding Hands while Jumping Off the Cliff
The Direction of Equities in the Obama Economy
Is it FAIR to Tax the Rich out of Business?
California Dreaming: Bankruptcy, Pensions and Taxes
Pay Differential - Private Sector and Federal Government
Long History of HSBC Money Laundering
Swan Dive of 2013 Economy
Federal Reserve May Pause Quantitative Easing
The Economics of Sequestration
The state-owned Bank of North Dakota
Chinese Takeover with Free Trade Zones
Low Interest Rates Impoverish Savers
Bond Bubble Expectations
Currency Wars - Race to the Bottom
Government Subsidizes and Bankrupt Companies
Economics of Gun Control
Refuse to Buy or Sell with the Federal Government
The Cyprus Great Bank Robbery
Keystone Pipeline Blockage
Move Over IMF for the BRICS Development Bank
Obama Budget Proposes Cuts to Social Security and Medicare
The Risk and Reward of Bitcoins
Farm Supports and Social Welfare
Internet and Sale Taxes Dialectic
The Warren Buffett House of Cards
IRS as a Political Hit Squad
Revenue Budget Projections
Google and the NSA Connection
The Roubini - Faber Debate
Hydrofracking Boom or Bust
Goldman Sachs - first learn, then earn and serve
The Federal Reserve after Ben Bernanke
Implications of a Pyrrhic Real Estate Rebound
The New Normal: Part-Time Employmentyment
U.S. & Europe Trade Deal Honeymoon
Detroit City Bankruptcy Blues
J P Morgan and Commodity Manipulation
Strange Business Success Ventures
Business of Evangelism Religion
NFL Marketing Machine
Privacy Gone on Offshore Assets
Chinese Banks Quasi Government Institutions
Forecasts of a Doomed Economy
Financial Meltdown Five Years After
Corporate Profits and Worker Unemployment
Renminbi Soon to Be a Reserve Currency
Rehypothecation of Collateral
IMF Proposal to Tax Bank Deposits
Transfers excluded, JP Morgan Chase is Wired
Insurance Companies Profit from Obamacare
Climate Change by Executive Order
Economics of Non-governmental Organizations
Why Business Franchising is a Bad Deal
The Business of the Christmas Season
China Becomes Largest Trading Nation
Obamacare as a Jobs Killer
Does a 100 Trillion Debt Total Matter?
Underground Commerce is the Real Economy
Technology and the Future of Jobs
The Japanese Debt Economy
Individual Wealth in Perspective
Inevitability of Financial Bubbles
Russian Sanctions Backfire
Is the Dollar and Equities Ready to Crash?
Economic Reality of a Wealth Tax
How stable is the Bond Market?
Are International Stocks Safer than U.S. Equities?
David A. Stockman - The Great Deformation
Chinese and Japanese Deflationary Economies
Euro Crisis Deepens
Russia's SWIFT Settlement Alternative
The Swiss will not have more EU QE
Business of Global Warming Fraud
Economics of NYS Southern Tier Secession
Fear of IRS Tax Audits Diminish
Where is Global Economic Growth?
Government's share of minimum wage increase
Economic Growth Is Impossible
Replace the Business Cycle with Permanent Poverty
Who benefits from the lifting of Iranian sanctions?
Who Wins in a Currency Devaluation War?
Labor Day when there is no work
Municipal Bankruptcies and more on the way
Undeniable Social Security Demographics
Grinch that stole Christmass
Business Mergers Soar in 2015
The Chinese Market Crash
Driverless Vehicles Powered by Artificial Intelligence
U.S. Banks Ready for Negative Interest Rates?
International Trade Sinks with the Baltic Dry Index
SunEdison Green Power Bankruptcy Inevitability
Another Record Collection from Federal Taxes
Absurd Valuations on Unprofitable Tech Stocks
BATR Index
Forbidden History
Reign of Terror
Stuck on Stupid
Totalitarian Collectivism
Global Gulag
Inherent Autonomy
Radical Reactionary
Strappado Wrack
View from the Mount
Solitary Purdah
Dueling Twins
Varying Verity
911 War of Terror


Medicare and the Ryan Budget

Health care is on the mind of many Americans. The Supreme Court is taking up Obamacare. Costs are going up at an alarming pace. The access to quality medical care is eroding. Hospitals are under pressure and closings are rising. Doctors brace for reduced payments for services. No wonder any proposal for altering the trajectory of all these trends gathers interest. Medicare is the gorilla in the federal budget china shop. This primate is hungry for more takings. Survival of the fittest may well come down to the realignment of the entire health care system. Just what can the public expect out of this struggle for wellness?

Within this context, the Paul Ryan budget proposal bears consideration. Forbes provides the analysis Paul Ryan's New-and-Improved Plan for Medicare and Medicaid Reform.

"Ryan’s proposal for Medicaid reform involves "converting the federal share of Medicaid spending into a block grant indexed for inflation and population growth."

Another key detail: Ryan’s plausible assumption is that competitive bidding could drive Medicare spending down without hard spending caps. However, as a backstop, the proposal caps the growth of Medicare spending at GDP plus 0.5 percent, which—not coincidentally—matches the targeted Medicare growth rate in President Obama’s budget.

The PTP 2 growth rate cap of GDP + 0.5% is meaningfully higher than that of PTP 1, which grew Medicare at the rate of inflation, something that was a principal source of criticism from the left (Alice Rivlin called it "much, much too low" ).

A key question is: what will the CBO do? Will the CBO score this new plan with the GDP plus 0.5 percent Medicare growth cap? Or will CBO give Ryan any credit for the benefits of competitive bidding?"

Congressman Ryan argues his case in the You Tube, The Path to Prosperity.

Frightening prospects and dire results are unavoidable. All should acknowledge the danger, but the denial blame game seems to be the only factor that spikes higher than the national debt.

The National Review warns in
Ryan and the Middle Class.

"Ryan’s Medicare and Medicaid reforms are both slow, workable, conservative solutions to the fiscal imbalances of those programs. The American middle class may not accept Medicare reform willingly, but it is something close to a mathematical certainty that it ultimately will accept it in some form. One possible form is that the checks stop coming as the nation becomes insolvent, another is that the government pays benefits nominally to the penny but radically devalues the dollar to do so. I suspect that the Ryan plan, or something like it, will be enacted long before that happens. We’re stupid, but we’re not that stupid."

The underlying assumption that Medicare and Medicaid are intrinsic entitlements and an inherent right is an assumption that is seldom challenged. The stupidity is not in the creative social engineering of payment alternatives, but in the very concept that personal liberty and corresponding responsibility is a chronic disease. Few distortions in the nature of a free people are more confused than the mental disorder that demands government mandated health care.

It is because of this sharp departure from sanity that the nanny state demands compliance. The pharmacology complex, which is the driving force that underpins hospital therapy and officially sanctioned medicine, is managed treatment. The managed aspect, frequently based upon the funds available for further coverage, is cold-blooded. Medicine has evolved into a monitory arbitrage function for HMO to hedge their returns.

The Whole Truth is the other cliff dropping Medicare video that counters the infamous Obamacare attack on the previous Ryan initiative.

The explosion of costs to be part of this system enriches a dependent drug society. The financial return on assets for the major drug producers is stellar. However, upon an in-depth examination of quality of care standards, how many people will agree that the medical community is ready for a major retraction, much less affordability, of services?

Treatment by pill is not all that it advertises. Health through radiation is deadly. And healing through bureaucratic panels is fatal.

The transactional fraud that exists in the government medicine administration is reason enough to scrap socialized medicine. The automatic Medicare Part A availability subjugates citizens into the medical system even if they reject the principle of state distributed healthcare. Currently accepting the copayment contribution for Part B is optional, but how long do you believe that will remain in effect?

Nonetheless, the media and pundits overwhelmingly demand government public health coverage. Criticism of the Ryan reform, especially from the Progressive Left is deafening. A more balanced approach is expressed by Bloomberg in
Paul Ryan’s Medicare Voucher Plan Improves With Each Pass,

"The danger is that Ryan may be cutting costs too steeply, forcing Americans to choose from a stingier menu of options while shouldering ever-higher out-of-pocket costs. He may also be relying too heavily on seniors’ ability to make smart decisions about their insurance -- often when they are frail or seriously ill.

To avoid these pitfalls, Ryan should clarify that insurers wouldn’t be able to charge any Medicare patient excessively high premiums. One way to do that would be to require insurers to charge the same premiums for all enrollees of the same age. To keep private insurers from cherry-picking the healthiest seniors, plans must be "risk-adjusted," insurer-speak for customizing government subsidies for the average beneficiary’s health status. Finally, participating plans must be required to offer benefits at least as comprehensive as traditional Medicare."

The out of control health care spending and the skyrocketing rise in government debt to finance the cost leads to an inevitable sentiment that people are living too long. The systemic design for a eugenic policy is the most disturbing aspect in the health care debacle. Congressman Paul Ryan is attempting to set the fracture of broken bones for managed care. The politics of government medicine is lethal. Solutions seek a miracle cure but the treatments are just as toxic as the expenditures.

James Hall – March 28, 2012

Discuss or comment about this essay on the BATR Forum

a free speech forum open to the public

This site  The Web 


tumblr page counter