Wednesday, May 19, 2010

Massachusetts Health Costs Skyrocketing

The Obama administration sold health reform as a cost cutter. Having everyone in the pool would "bend the cost curve." The bill uses the "economy of delayed implementation" according to Peter Orszag, thus major coverage expansion doesn't begin until 2014.

This gives America four years to watch Massachusetts health reform, now three years old. Covering everybody didn't bend Massachusetts' skyrocketing health care costs. It didn't save Caritas Christie, the largest nonprofit community hospital system in New England. Caritas Christie sold out to Cerberus Capital Management, a private equity underwriter (PEU) which expects skyrocketing investment profits.

Governor Deval Patrick uses the same language as the Obama team, health reform should cut business costs. That leaves individuals, health care providers and the government on the hook as businesses back away from their historical commitment.

The Governor's Jobs Bill is described as:

The plan also includes measures to provide businesses with access to working capital, ease unemployment insurance costs, extend tax relief to businesses that create new jobs, and establish a new organization dedicated to providing the resources businesses need to grow.
Apparently, the Red and Blue teams are competing on corporate welfare. I can't wait to see the recommendations from Obama's Deficit Commission, already using corporate tax cut language.

The rationale for national health reform isn't holding in Massachusetts. Four years is a long wait for help. Millions more will lose health care coverage as employers crop or shed the benefit. CBO expects 6 million to go off CHIP and Medicaid between 2011-2013.

How many safety net hospitals will follow Caritas Christie, close or sell out at fire sale prices to PEU's. What will America look like by 2014? What will four more years of deform by the Government-Corporate Monstrosity (GCM) bring?

(The GCM is Eisenhower's Military-Industrial Complex on steroids, encompassing health care, banking, infrastructure, homeland security, intelligence and the military.)

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