Got an email today from FamiliesUSA with a link (PDF) to one of its publications criticizing state-based Taxpayer Bills Of Right (TABOR). I found this passage enlightening when it comes to the political left’s ignorance (often willful) of economics:
While the reduction in state revenues and limits on spending required by TABOR will be damaging to many state programs, health care will be particularly hard hit. That’s because TABOR allows tax revenues and state spending to increase with inflation, but health care spending has been going up faster than inflation. The TABOR formula adjusts for inflation based on increases in the CPI. But medical inflation has increased by at least 8 percent each year for the past six years, rising more than twice as fast as the CPI.5 Consequently, TABOR will squeeze health care programs sooner-and harder-than other kinds of state programs.And health care inflation just “happens.” It’s not like the provision of free medical care by state governments drive up the demand for health care, thereby driving up health care prices. Of course not. That’s just conservative drivel.
In recent years, as health care inflation has driven up Medicaid costs, states have responded by either raising taxes or cutting Medicaid. States that adopt TABOR amendments will be unable to consider the first option (raising taxes) due to TABOR constraints. Instead, TABOR states will face pressure to cut optional Medicaid benefits and/or drop Medicaid enrollees, thereby increasing the number of uninsured.
A man of faith in a godless age is hitting Americans where it hurts.
Mr. and Mrs. American Spectator Reader, let P.J. O’Rourke talk sense to your kids.
In Britain, defending your property can get you life.
The debacle of this president’s administration is both a cause and a symptom of the decline of American values. Unless Congress impeaches him, that decline will go on unchecked. An eminent jurist surveys the damage and assesses the chances for the recovery of our culture.
It won’t take long for conservatives to scratch this presidential wannabe off their 2008 scorecard.
The American Christmas, like the songs that celebrate it, makes room for everybody under the rainbow. Is that why so many people seem to be hostile to it?
Was the President done in by the economy, or by the politics of the economy?