Health care represents about 16% of the US economy and the percentage is increasing rapidly (some say it has already increased to 20%). The increase in the percentage is because the increase in health care costs exceeds the rate of inflation and many new costly procedures and pharmaceuticals are being developed all of the time. Many of these new products save lives or improve outcomes, but often increase the cost of treatment, although some of them actually decrease the overall cost of treatment by shortening the recovery time. The percentage of GDP spent of health care will increase unless there is Tort Reform. But there is no Tort Reform or any other cost saving proposals in ObamaCare. There are only tax increases that will actually increase the cost of health care.
Most economists agree that for a healthy economy, the Government’s taxes and expenses should not exceed 18% of GDP or at most 20%. Higher percentages lead to inflation, deficit spending and a weak currency. Government expenditures were at approximately 22% of GDP, before the February 2009 $787 billion stimulus or “porkulus” package, the phony 6 month pork packed extension of the ’08-’09 budget, and the largest in history pork packed ’09-’10 budget. In his first six months in office, Obama spent more money than every president before him from the first George W., George Washington to the last George W., George W. Bush. Of this money Obama spent, one dollar was borrowed for every two dollars that was spent. Adding the entire health care costs of 16% to 20% of GDP under Obama’s single payer system, together with the rest of the Government expenditures (including legitimate expenses, pork, waste, corruption and fraud), will cause the economy to collapse. We need to cut Government spending and cut taxes to grow the economy again.
If ObamaCare doesn’t bring down the economy by itself, Obama’s proposed Cap-and-Trade will. Obama’s Cap-and-Trade plan will cap and destroy our economy and trade our jobs to China and India. No economy could survive this massive tax and regulation on industrial production, energy production, food production, transportation and every other activity in life. Production and jobs will move to low cost and high polluting countries, such as China, India and Mexico. Since these countries are some of the biggest polluting countries in the world, pollution and the alleged “green house” gases will increase and not decrease, as the proponents of the bill claim, while destroying the US economy.
And, if ObamaCare and Cap-and-Trade do not bring the econ0my down, Card Check will. Card Check will take away the secret ballot from employees, when union thugs intimidate employees to sign union organizing cards, and will impose binding arbitration for union contracts, if the company being organized does not cave in quickly to the union’s demands. Who would Obama appoint to be an arbitrator? Van Jones? Why Van Jones, Obama’s former Communist Green Jobs Czar, is now available. He is currently sitting down the way from the White House at the Center for Americans for Progress, where he was promptly hired by Leon Pannetta the day after he “resigned.” The Center for Americans for Progress was funded by the Hungarian Communist George Soros.
Unions have been very detrimental to the economy. In addition to the UAW bringing down GM and Chrysler, almost every manufacturing job, which has been lost in the recent recession, was from a union company. Unions demand more pay, benefits and job restrictions, than the economic conditions and value of their output justifies. For example, the American automobile companies cannot even upgrade equipment or shut down a production line without the UAW’s permission. That is why these US automobile companies were often profitable outside the US, while they lost money in the US. These high demands on employers in a competitive economy, particularly during a recession, result in layoffs, business failures and manufacturing jobs being shipped overseas.
Thus, there is a growing body of evidence that the collapse of the US economy will be the result of Obama’s initiatives. Could that be his plan?
Thursday, October 1, 2009
Subscribe to:
Posts (Atom)
