Sunday, January 12, 2014

COTD: Ezra's Whoops!

A health industry expert on ‘the fundamental problem with Obamacare’: "TheWhiz
6:40 AM MST
The points in this analysis, though understated, point to devastating results for the ACA: (1) it is product-driven, not market-driven, which leads to consumer rejection; (2) the mechanism for countering lack of demand (mandate) will be eliminated; (3) leading to unsustainable risk pools--both in terms of quantity and mix. Risk corridors may keep things afloat for a while, but the only realistic solutions are to attempt cost controls (change the product, narrow networks, regulate prices for medical services) by overriding the statute and increasing government funding. Interesting that you, a supporter of the ACA, have pointed this out to us so clearly."