TRUMP TO LET OBAMACARE CRASH AND BURN


A vote on a health care bill to replace the dysfunctional and failing Obamacare system was pulled by Republicans on orders from President Trump after it predictably failed to get majority support from divided Republicans in the face of united opposition from Democrats. 

As health care is an issue of vital concern to most voters, it was one that Trump could only ignore at his peril, but the collapse of the preliminary plan now allows Trump to take a step back and allow the inherent problems in Obamacare to reach toxic levels. In other words, he can now legitimately allow it to crash and burn.

The main problem is that insurance companies enrolled in the scheme, which seeks to cover chronically ill people with payments from healthy people, are finding it hard to stay profitable without raising premiums and other charges, making the scheme costly even with the subsidies and tax breaks that are supposed to support the scheme. 

Obamacouldntcareless
This is creating a "death spiral" as the "healthy payers" exit the system while the "unhealthy users" remain, pushing up costs even more. In recent months several insurers have pulled out, reducing coverage and competition and enabling remaining insurers to push up costs even more. Accordingly, the number of people signed up to the scheme has plummeted. 

The essential problem is that Obamacare can't stand on its own legs. Without constant support from the White House and Congress, the system is doomed. But the problem for Trump is that he doesn't have enough agreement in his own party to replace it, especially in the face of a Democrat Party that is using the issue to play politics by denying any compromise. 

Trump's strategy therefore is to say "I tried" but to then allow this Democrat-created system to simply fall under its own weight, provoking voter pressure to mount on both the Democrats and Republicans to the point where he can come in and play an honest broker, getting greater support from his own party while also drawing some support from Democrats. This has probably been his strategy all along. 

Share on Google Plus

Post a Comment