Obamacare Hits a Bump

Since Obamacare took full effect in January 2014, two things have happened. First, the percentage of Americans who are uninsured has dropped sharply. Second, the growth of health costs has slowed sharply, so that the law is costing both consumers and taxpayers less than expected.

Meanwhile, the bad things that were supposed to happen didn’t. Health reform didn’t cause the budget deficit to soar; it didn’t kill private-sector jobs, which have actually grown more rapidly since Obamacare went into effect than at any time since the 1990s.

.. It seems clear that subsidies for purchasing insurance, and in some cases for insurers themselves, should be somewhat bigger — an affordable proposition given that the program so far has come in under budget, and easily justified now that we know just how badly many of our fellow citizens needed coverage.

.. there’s nothing wrong with Obamacare that couldn’t be fairly easily fixed with a bit of bipartisan cooperation. The only thing that makes this hard is the blocking power of politicians who want reform to fail.

Winners, Losers and the SOTU

Opposition to Obamacare, for example, isn’t coming from people who were falling through the cracks before. It’s coming from people who have seen their cost of insurance go up, or who have had to change doctors, as a consequence of the redistribution scheme that makes it possible to cover the people who were falling through the cracks. These people see themselves as having lost something, and having lost it because the government thought giving a benefit to someone else was important, and that they deserved to pay for that benefit. Similarly, popular opposition to efforts to combat climate change is coming from people who fear they will lose out as a result of those regulatory efforts – for example, people in coal country who see their industry’s very existence threatened by the government’s choices.

.. But there are losers as well as winners in these choices, and those losers are not losing because of “change” – they are losing because of choices. And I suspect it is grating to hear someone who is clearly winning lecture them about how they are losing because of impersonal forces of history that must be accommodated, and that they shouldn’t take out their frustrations on the wrong target. Even if it’s true, it’s a lousy message for reaching those people.

.. Liberalism, at its heart, is about generosity – spiritual and material. This is not a liberal moment in American politics.

.. The frustrations many Americans feel are a response to actual facts, not just misperceptions.