Blog/USA Current Events
Posted Sep 1, 2015 by Martin Armstrong
Before, I never had to pay when I picked up medicine for my mother. Ever since Obamacare, I have to pay a fair amount. Now, almost one-third of the roughly 50 million elderly Americans who depend on Medicare for their healthcare and other services are likely to see their premiums jump by 52% or more in 2016. Why? Because inside the law, Congress has decided to tax everyone, and they punish anyone who has saved over the years since they are the “wealthier” beneficiaries. Whenever the Social Security Administration fails to boost the annual cost of living adjustment, the “rich” get cheated. Don’t forget, household income/wealth in excess of $250,000 are the most hated “rich”.
Congress is focusing on addressing ballooning deficits in the Social Security Disability Insurance program, which is part of the unfunded liabilities they used as an excuse to tax people in 2016. There is a huge problem in the off the chart premium of Medicare Part B, the premium-based government health insurance program that covers seniors’ visits to doctors and other health care providers, including outpatient care and durable medical equipment.
They are showing no sign of printing their way out of socialism. They are justifying their revisions on entitlements of the “rich” whom they claim are taking advantage of the program when in fact they too paid into the program. If this was a private company, we would call it consumer fraud. The advantage of being a politician is that you can lie all the time and get away with it.
This is a reflection of the rising costs (cost-push inflation) contrasted with DEMAND inflation reflecting a boom. The former is deflationary and the latter is inflation. It is a question of public confidence at ALL TIMES.