Obamacare is imploding. That is no surprise to anybody who knew what the plan was intended to do. Obamacare was designed to fail. The democrat plan, however, was for failure to happen when they were in charge of the federal government.
For the sake of analysis, let’s pretend that Hillary won the election and became president, along with democrats taking back both houses of Congress. Obamacare would collapse as planned. Nothing can stop this horrendous law from failing. Hillary would go to a socialized, government bureaucrat controlled, single payer system, fulfilling the progressive democrats’ utopian dream. So, how much would it cost?
We are fortunate to have a recent example from democrats in California (Senate Bill 562) from which to answer that question.
California has an annual state budget of approximately $180B. Assuming that the politicians pushing the bill did their analysis correctly, which is a huge assumption, the recent single payer bill pushed by democrats would cost $400B/year.
According to those same politicians, Californians spend $200B/year on healthcare already, so if the government took all of that money, it would still need $220B/year to pay for the socialize medical plan, more than double their current annual budget.
California, according to the Bureau of Economic Analysis is 14.1% of the total US GDP. Using California’s GDP to scale up the plan to the United States, the full cost of such a democrat plan would equal $1.418T/year.
Yes, that’s correct, $1.418T/year, which is far greater than the entire discretionary budget of the federal government. The total was discounted like the California plan assuming that every penny spend on healthcare nationally is taken and applied toward the total cost, and so is reduced from the total annual cost of $2.836T.
These are mind-blowingly large numbers that would collapse the national economy, and bankrupt the country.
Note: We are already approaching $20T in debt, and rapidly climbing. A socialized medical plan thrown on top of the current federal budget would be like throwing a drowning man an anchor.
The bottom line: Democrat healthcare plans, like the New Deal which gave us $20T in debt, bankrupts the country.
- Urban Institute Analysis: National Single Payer Plan would raise government spending by $32 trillion over 10 years