Tuesday, August 18, 2009

The New Obamacare Strategy - "Co-ops"

Having taken a beating on government run healthcare, Obama and his minions are going to try and sneak it by labeled as 'co-ops'. You'll be hearing that word a lot in the near future.

In the real world, co-ops are private organizations ostensibly supported and run by and for the members, who pay a fee to use a service. AAA, certain credit unions or your local organic produce co-op are examples. But that's not the kind of 'co-op' Obama has in mind.

This is simply the so-called public option with a new, poll-tested name. It's indistinguishable from Obamacare because it's going to likewise benefit from the use free capital robbed from the taxpayers whether they use the system or not.

This is similar to the way Japanese companies took over whole segments of the US economy in the 1980's.The Japanese government subsidized exporters with interest free loans so they could afford to undercut the competition and drive them out of business to acquire market share.After which, of course, the price can go up, and rationing can be instituted.

And of course, one reason the Japanese were able to afford to do that is because they undervalued their currency and made consumer goods highly expensive in their home market, basically mandating savings the government could draw on to continue the process. That didn't end well for some very good reasons, and unlike '80's Japan, our currency doesn't really have any room to be revalued without producing Weimar level inflation.

The so-called co-ops will also benefit from the fact that the federal government will be making the rules that govern all insurance companies. Does anyone actually think the Obama Administration won't slant the rules to favor Obamacare and put private companies out of business?

The government isn't involved in 'competition' with private business when the government is subsidizing its own government program and is also writing the rules.

And not a word about tort reform, the real boogeyman behind rising costs.

Nor is anybody saying anything about the ultimate price tag involved, or what effect free healthcare for illegal aliens will have on increasing a problem that's already out of hand and a major drain on the economy.

Don't be fooled by these con artists.Keep the pressure up on your congressmen.

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