Obama likes to tell everyone that government is only getting involved in healthcare to provide “competition” to the insurers so they will lower their price.
This makes absolutely NO SENSE at all.
This would be the same as Obama accouncing that the government is going to get involved in manufacturing computers because they want to bring “competition” to the computer industry to force them to lower their price. There is already plenty of competition in the computer industry as all of you well know when you shop for one and compare prices and options between different brands.
The free market, by its very nature, forces competition. If one computer brand’s prices start to climb, and you can get an equivalent computer for less money, you will…and you don’t need government’s help to make that decision. The free-market ensures that competitors will strive to build new and better products for as little cost to you as possible so they take business away from their competitors. That is how they make money.
The same is true for health insurance, just like car insurance or home insurance or any other type of free-market based industry. We all shop around, for computers, for insurance, for everything,…that is the beauty of the entire free-market economy.
Now Obama wants to offer a government “public-option” in the current healthcare bill he is trying to ram through where we can choose between the free-market company insurance programs, or the government insurance program, and he claims they will simply compete with each other for business.
This is FALSE.
Government entities are free from paying taxes, free from most government regulations, free from many of the costs that all companies in the free market are forced to pay…costs imposed on them by government. Since the government insurance program will not have to pay billions of dollars in taxes, fees and regulations they will be able to offer a lower price for their insurance. This will actually drive out all the other insurance companies who must still pay taxes and regulations that the government plan does not have to pay.
In fact, the government plan could sell insurance for much less than it costs them to provide it because they are not a company that would be subject to going out of business by running out of money. The government can just go to you and get more money through your taxes and run at a loss forever. How long would Dell or HP last if they sold all their products for less than what it costs them to make it?
This will eliminate all competition from the market, which is the exact opposite of how Obama is selling this to everyone.
In the end, Obama will provide you with only one computer and he’ll charge you whatever he feels like for it, and without any competitors there won’t ever be a need to make it any better, or more efficient or offer anything new since you will have NO CHOICE.
This is how governments’ take over their people and socialism takes over a free society.
Categories: Healthcare Reform