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Apr 27 2015
 by Bill B. May
 
POLITICS
 
 

OBAMACARE

Worse Than We Thought

I've started reading a new book, in the process of being released, by John Goodman, titled A Better Choice.  The book presumably offers a better solution to health care than ObamaCare.  Goodman is a very well respected researcher and writer in the field of health care.  I won't comment yet on his alternative approach but what struck me was the awful mess that the law has engendered.  It points out the fact that humans will find a way around government imposed regulations that make no sense.  
 
I was simply amazed in reading the first 30 pages about the many ways that business and individuals are thwarting the intent of the law, mostly legal, by the way.  When a bureaucrat puts a provision into a law like special treatment for employers of less than, say, 50 people, companies find multiple ways to stay below the 50 employees and still prosper. The whole intent of ObamaCare is thwarted.   This is just one example; the law is so complex that many other facets can be and are thwarted as well. 
 
The lesson from ObamaCare is that people will not accept legislation that makes no sense.  Congress can pass all the fixes it wants but as long as the overall law is unpopular, people and businesses will find loopholes and ways around the law.  The whole mess evolved from government meddling in health care in the first place, during WWII.  A stupid idea of the time was that since we are in a war, we shouldn't be paying outrageous salaries to workers even though they had important jobs to be done.   The solution?  Wage freezes.  No longer could a company helping the country along in products pay more to get the employee they needed, particularly if that employee was needed to build war materials.  So again, companies did what they had to do.  They found other ways to compensate these needed employees.  They gave them health insurance, something that was not usual before then.   The government ruled that the insurance was not compensation so it became a tax free form of salary.  This has allowed the government to meddle more in a field for which it has no business or expertise, namely health care.  And the more it meddles, the more things cost since free enterprise is not allowed to work.  Government regulation becomes dominant. 
 
I went to a meeting that was intended to explain Goodman's ideas.  It evolved into a discussion of hugely expensive drugs:  Pills that cost 10s of thousands of dollars, each.  Why would any pill cost that much?   After all, it is made from earth, one way or another.  Sure, it might be a complex process but the real high price comes about for two main reasons.  First, the cost to get that drug approved by the FDA is in the billions of dollars.  Nobody with a rare disease can afford the pills in order to subsidize the FDA approval process unless somebody like the government pays for the pills.  Second, there is no competition.  Why would another company go through this billion dollar expense only to find competition with the end product, even if the medical profession would consider an alternative?  It makes no business sense to develop an alternative product.  Thus we have a monopoly situation fostered by government, again.  And with a monopoly, no company spends much time in reducing the cost/price of the product.
 
I'll probably do a report on Goodman's ideas once I finish the book but I'm leery of any solution other than free enterprise (and small government).  Yes, we can make things easier for health care providers by getting rid of government.  Government has reduced competition by not allowing interstate providers.  This is simply a sop to a state's own suppliers that ends up hurting their citizens.  Crony capitalism rears its ugly head again.  But having government manage any aspect of health care is just more of the same.  Bureaucrats rather than people are still making the decisions.  That never works.  The leftist idea that some smart person can do a better job than everybody else in deciding what is best for you is bankrupt, despite a hundred years of trying. And government intervention, another leftist idea, always distorts the economics.  
 
 
DR. MAY'S SUGGESTED
 
READING
 
 

FREE ENTERPRISE AND SMALL

GOVERNMENT

Paul Krugman’s Love Affair With France

Louis Rouanet says:   In recent years, Paul Krugman has incessantly defended France and its welfare state, even going so far as to pretend that the French economy was in fact in better shape than the British economy. According to him, “To an important extent, what ails France in 2014 is hypochondria, belief that it has illnesses it doesn’t.” However, except for some Keynesian propagandists, nobody believes that the French economy is not deeply in crisis and it is now more and more obvious that Krugman is wrong.
 
I presume Rouanet's data are correct and if so, Krugman is blown out of the water with his love of leftist policies.  Britain is doing fine and the economy is rebounding; France--not so much.  In Britain, government was cut; in France, government keeps expanding at the expense of free enterprise.   The lesson is clear except that Britain has a long way to go before it maximizes its economy.  France has a lot further to go.

FOREIGN POLICY

Obama’s Nixon Doctrine: Anointing Iran

Charles Krauthammer writes:  In December, President Obama said that he wished to see Iran ultimately become a “very successful regional power.” His wish — a nightmare for the Western-oriented Arab states — is becoming a reality.
 
If Obama actually has a foreign policy, it is a terrible one.  His attitude toward Iran is just plain stupid.   It must be the beautiful sound of the Muslim call to prayer that influences him.  Nothing else makes any sense.  

EARTHQUAKES

Nepal Earthquake Aftermath: Rescuers

Struggle To Reach Remote Areas As Toll Rises

The death toll from Nepal’s earthquake soared past 3,700 Monday, and how much higher it would rise depended largely on the condition of vulnerable mountain villages that rescue workers were still struggling to reach two days after the disaster.

BLACK ISSUES

Black Violence Matters

Daniel Greenfield  saysBaltimore has the fifth highest big city murder rate in the country. The four cities ahead of it are Detroit, New Orleans, Newark and St. Louis. All these cities have something in common. Not racism, but race.
 
The killers and the dead are black.

REPUBLICAN PARTY

Republican Senators And The Battered Wife

Syndrome

Bruce Thornton writesFor 6 years Barack Obama in word and deed has battered the Constitution and slapped around the Republicans. Abetted by his Luca Brasi, Harry Reid, he has run roughshod over the separation of powers and his own oath to the highest law in the land. He has responded to Republicans’ complaints about his executive arrogance and unlawful policies with naked contempt and partisan calumny. With his minions in the press and the Democratic Party, he has vilified conservatives as racist warmongers and plutocrats indifferent to the plight of the poor. But instead of fighting back in kind, some Republicans have bent over backwards just to get along, a capitulation disguised as “bipartisanship.”
Gutless wonders in the face of nation-destroying media.  

CAMPAIGN FOR PRESIDENT 2016

McCain: Paul 'Worst Possible Candidate' On

National Security

In this news article from GOPUSA, McCain lambasts Rand Paul on National Security.   This is a sorry spectacle for a former war hero.  After losing the election for President, he should hear the message from the people.  He isn't respected as a politician.  He is not the elder statesman of the Republican Party, or if he is, we need a new GOP.  Whatever happened to Reagan's 11th commandment? 
 

NEWSBALANCE

We post many more articles than highlighted on this page.   Some are highly ranked but don't meet my notion of deserving special attention, perhaps because they were covered recently.   I invite you to peruse all the posted articles, or maybe just the liberal onesor the conservative ones
 
 
 
 
Bill B. May brings you a new book, The Caveman Explores Politics and Economics, explaining the intricacies of economics. Learn how politics and economics interact to negatively impact society. Politicians react to deficits by raising tax rates to cover spending. They also print money to supposedly boost the economy. Find out why these methods don't work and why opposite measures should be the course of action. Become an informed citizen and read this book.
Buy here. Available from all major ebook resellers.