The Congressional Budget Office is close to putting a price tag
on some health care proposals, but Democrats, fearful that
Americans may get sticker shock, are considering using estimates
of the White House Office of Management and Budget instead, the
Hill
reports.
In the article, Democrats express concern that the CBO will
inadequately value the "savings" that a proposal would generate
through preventive care.
The potential cost savings from preventive health care is a
thorny issue, because not all prevention is created equal. While
it's true that you could reduce health care costs if people lived
healthier lives, it's not clear that you can change people's
behavior through government policy, and as I
wrote earlier today, Democratic health care proposals
threaten successful private sector efforts to lower costs by
cutting obesity and smoking rates. Furthermore, a
number of experts
have found that prevention does not save money when it takes on
the form of increased screening, overdiagnosis of diseases,
overprescription of drugs, and so forth, because the cost of such
measures across the wider population tends to eclipse any savings
generated by cutting down spending once people have a given
illness.
What this means in reality, is that by using rosy assumptions
about the projected savings from prevention, the White House will
be able to come up with a low ball figure on the cost of health
care legislation.
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