Taxpayers will pay 78 percent of any Obamacare losses
January 13, 2014
If Republicans in Congress are unable to muster the forces required to repeal Obamacare – and there is a reasonable chance they will not be able to do so with the current political climate – the socialist scheme will be rescued by the American tax payer. In 2008 through 2009, the banksters had their bailout, followed by General Motors and Chrysler. This cost hundreds and hundreds of billions in devalued dollars. Nobody really knows how much the subprime implosion will ultimately cost and what the lasting effect will be on housing and mortgage markets.
Next up the insurance companies. Back in 2010 the media ignored Max Baucus climbing into bed with Liz Fowler, the former VP of Wellpoint, the largest managed health care for-profit company in the Blue Cross and Blue Shield Association. Baucus and Fowler cobbled together what is today Obamacare. Baucus, the Montana senator who is chairman of the Senate Finance Committee, is considered the father of Obamacare.
“The insurance industry has spent their money well, spreading it across both parties. They got what they paid for with this neoliberal health care bill,” writes Jane Hamsher. In addition to the globalist menu of free trade and open markets – open and free, that is, for banksters and transnational corporations, at the expense of everybody else – the neoliberal health care bill moves under the heavy hand of government to monopolize and consolidate the market. Back in the day, Mussolini called this fascism.
Even Democrats understand what Obamacare really is. In December 2009, Howard Dean, the former Democratic National Committee Chairman, said the legislation poised before Congress was “a bigger bailout for the insurance industry than AIG.” Dean characterized it as “an insurance company’s dream.”
Obamacare “does nothing to restructure the health insurance industry, anymore than the Dodd-Frank Act restructures the banking industry,” writes Nomi Prins, a former director at Goldman-Sachs and analyst at Bear Stearns. “This means everything else it attempts to do, positive or negative, will be vastly overshadowed by an industry accelerating to morph itself into an acquisition machine in order to circumvent anything that even smells like a restriction, including laws that exist and ones to come.”
Jeffrey H. Anderson notes today that Obamacare is projected “by the Congressional Budget Office to funnel $1,071,000,000,000.00 (that’s $1.071 trillion) over the next decade (2014 to 2023) from American taxpayers, through Washington, to health insurance companies.” Anderson cites Robert Laszewski, a prominent consultant to health insurance companies, who explains how a massive transfer of wealth will occur through the Obamacare “private-public hybrid,” in other words classically fascist arrangement.
Laszewski says taxpayers will pay for 78 percent of any losses accrued by “managed health care” companies (as Wall Street calls them) through a “Risk Corridor Program that limits overall losses for insurers” in addition to business costs. Call it socialism for the transnationals, a carbon copy of socialism for the international banksters.
A few Republicans are attempting to blunt the risk corridor swindle. In November, Florida Senator Marco Rubio introduced legislation to abolish risk corridors built into Obamacare. “Risk corridors are generally used to mitigate an insurer’s pricing risk,” Rubio wrote for the Wall Street Journal. “Under ObamaCare, risk corridors were established for the law’s first three years as a safety-net for insurers who experience financial losses… ObamaCare’s risk corridors are designed in such an open-ended manner that the president’s action now exposes taxpayers to a bailout of the health-insurance industry if and when the law fails.”
Conservatives and tea party Republicans agree Obamacare will fail. Unfortunately, they are blinded by their own ideology. They insist Obamacare has a built-in failure mechanism that will “give rise to a coordinated lefty push for single-payer,” as Guy Benson explains. Indeed, Democrats dream of single-payer – a system in which the government, instead of private insurers, pays for all health care costs – but the current system was not built as a humanitarian effort to provide healthcare for the downtrodden masses. It was built to enrich the elite and allow them political cover to consolidate vast amounts of wealth.
In addition to transferring wealth into the coffers of transnational banks and the interlocking directorship corporations they own, Obamacare is designed to crush the middle class in the United States. It runs parallel with the Federal Reserve’s operation to eradicate the middle class and usher in a new era of globalist serfdom.
“Ben Bernanke’s ZIRP, QE1, QE2, Operation Twist, and the upcoming ‘Operation Screw the Middle Class Again’ have succeeded in expanding the net worth of millionaires, billionaires and the bonuses of Wall Street bankers, while destroying the fragile finances of little old ladies and middle class risk adverse savers,” Jim Quinn wrote in 2012.
“In 21st century America, the few people who have experienced income gains are the executives and shareholders of firms who offshored their production for US markets, Wall Street which makes bets covered by the Federal Reserve, and the military-security complex which has been enriched by the neoconservatives’ wars,” writes Paul Craig Roberts.