Posted Jan 23, 2017 by Martin Armstrong
President Donald Trump on his very first night on Friday signed an executive order aimed at fulfilling one of his top campaign promises: Rolling back Obamacare. The multi-part executive order stated that the administration’s official policy is “to seek the prompt repeal” of the Affordable Care Act. The first regulation is the requirement that Americans either have health insurance or pay a tax penalty. While the left will say Trump is gutting Obamacare, this part has always been the most unpopular part. In reality, the Act gives the administration discretion about how to enforce the penalty. The Obama administration was itself relatively forgiving about enforcing that penalty because it knew it had a problem. Therefore, Trump easing this penalty is not so outrageous and the left paints.
States have been asking for more flexibility to reshape their Medicaid programs, which cover about 70 million low-income Americans. Such flexibility already exists in Obamacare to allow the States to respond. Some States have asked to require poor adults on Medicaid to seek work. Much of the regulation is very unfair. Someone who may even be on disability, loses everything if they work at all. They might be about to do a part-time job like drive a shuttle car for an auto dealer. But if they work for 1 hour, they lose all benefits.
The insurance mandatory requirement has been the foundation of Obamacare to force young people to buy heal insurance even when they do not need it. The profits from those premiums were support to pay for others like a Ponzi scheme. But this concept has failed resulting in many insurance companies abandoning Obamacare. Obamacare regulations stand 7ft tall (2.1336 meters). Nobody who voted on this act every read the whole thing! that is an ABSOLUTE FACT!
The system is unsustainable as is. It would have been a simply plan to say anyone who could not get health insurance would be covered by Medicaid rather than alter the entire insurance for everyone. Obamacare will collapse because it is yet another Ponzi scheme that is proving to have doubled the premiums of most people (including myself) while failing to compel the younger, healthier people to buy health insurance in the first place.
Republicans are very worried about being blamed for such a collapse, which could cause millions of Americans to lose health insurance. The simple fix would be to restore the healthcare policies people had originally and all others fall under Medicaid. Then, make insurance companies EXEMPT from income tax, but cap their income to 10% and freeze salaries of those who work in that industry indexed to CPI. Regulate insurance premiums as they do with monopolies for energy power. Mandate that an insurance company cannot drop you once you have a disease. Those with pre-existing conditions should be covered under Medicaid. There are bold steps that can be taken. There should be a free market in drugs as well. If there is a cheaper substitute from Canada, that should be allowed.