Sainted CBO Doesn’t Understand Economics

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from Conservative Review:

Crystal Ball Office (CBO): Big Gov cronyism good for your health

crystal ball reading

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We live in a time when politicians refuse to even understand the basic difference between the X and Y chromosomes. It is therefore not hard to understand why up is down and in is out when it comes to health care economics in the eyes of the esteemed Congressional Budget Office.

According to the CBO, the more Congress pays ransom to the insurance cartel, the lower prices will be, and then government will actually save money. Earlier this week, it issued its crystal ball projection on the Murray-Alexander bailout (the “Bipartisan Health Care Stabilization Act of 2017”) and said it would decrease the deficit by $3.8 billion. Less is more and more is less.

Of course, the insurance cartel would never use the morphine that numbs the pain from the price increases to raise prices even more … and demand even more bailouts next year. Bailing out the most failed and expensive national project of all time is now profitable, according to the smart people in D.C.

Anything done to promote Obamacare, CBO says will bring down costs; anything done to repeal it and offer alternatives will drive up prices. This is, in part, what has been fueling the reluctance of some Republicans to repeal Obamacare.

Evidently, the tripling of premiums, colossal loss of jobs and wages, and skyrocketing of the cost of health care itself as a result of the administrative nightmare has been lost on them. It must have been the Cookie Monster who raised the price of my insurance.

According to CBO, if you burn down someone’s house, lock them in another burning house, but have government supply the arsonist with more fuel while also supplying the victim with more oxygen tanks and fire suits, it will be sustainable — enjoyable, even — for the victim.

Thus, those at CBO believe by continuing to bar all non-regulated alternatives, force people to purchase cartel insurance, and subsidize the price increase for some, it won’t incentivize members of the cartel to use their government-given monopoly to raise prices even more. That has been the case for the first four years of Obamacare, but somehow if we pay just one more ransom, they will lower prices.

Another dishonest way proponents of the bailout are using CBO to suggest their proposals save money is by counting a new unfunded liability on the states.

Given that insurers in most states already increased premiums, even with the understanding they would not be getting cost-sharing subsidies, the Murray-Alexander bailout bill requires states to issue rebates to consumers and to the federal government. Thus, state spending will go up, while the feds will get an estimated $3.1 billion from states — the accounting is a bait-and-switch.

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About the Common Constitutionalist

Brent, aka The Common Constitutionalist, is a Constitutional Conservative, and advocates for first principles, founders original intent and enemy of progressives. He is former Navy, Martial Arts expert. As well as publisher of the Common Constitutionalist blog, he also is a contributing writer for Political Outcast, Godfather Politics, Minute Men News (Liberty Alliance), Freedom Outpost, the Daily Caller, Vision To America and Free Republic. He also writes an exclusive weekly column for World Net Daily (WND).