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AmSpecBlog
President Obama's $6,000 Lie
During last week's prime time press conference, President Obama incorrectly said the United States spends $6,000 more per person than any other country in the world. Perhaps his defenders would chalk it up to an honest mistake he made during a long press conference. But the problem is, he not only repeated, but elaborated on the error this time, making additional factual errors.
Here's Obama during this afternoon's townhall with AARP, based on the official White House transcript:
Last point I would make, just to give you a sense of why I know that we can get savings in the system without over the long term spending more money. We spend about $6,000 per person more than any other industrialized nation on Earth -- $6,000 more than the people do in Denmark, or France, or Germany, or -- every one of these other countries spend at least 50 percent less than we do, and you know what, they're just as healthy.
However, if you look at OECD data (which can be downloaded here), you will find the following statistics for per capita health care costs, adjusted for purchasing power parity:
United States: $7,290
Denmark: $3,512
France: $3,601
Germany: $3,588
Obama is correct that all of those countries spend less per person on health care, but it isn't anywhere near $6,000 less. The widest gap among the countries mentioned, between the U.S. and Denmark, is $3,778 per person. Of course, other systems don't keep costs down with magic wands, but with rationing care to the sick -- something Obama denies he wants to do in the U.S.
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ECM| 7.28.09 @ 5:26PM
He also makes the classic mistake of comparing small, relatively homogenous, populations to the USA which has a much, much larger and very heterogenous population in comparison to Denmark, France and Germany. (This mistake is constantly made when agitating for cannabis legalization and using the Netherlands as a prime example of exactly what we can expect from it in the USA, i.e. the USA is not France/Denmark/Gemrany/etc. and trying to draw valid inferences from dissimilar populations is tendentious at best.)
Bob| 7.28.09 @ 6:38PM
Thanks, Philip, for correcting your previous post. If you go back, you'll notice that my back of the napkin estimate was about $3500. That said, as I understand it, the $6000 total was originally a "per family" calculation. Either way, Obama got it wrong.
My guess is that math was not Obama's strong suit. And you are certainly correct that we cannot lower costs significantly without rationing. I don't mind rationing for lower cost plans as long as better plans can be purchased for more money with less rationing. In other words, you get what you pay for.
I still think Republicans should back a tiered plan just like your auto policy. There, you can choose the deductibles and coverages. The "public option" should be limited to basic care WITH rationing but will be a safety need for those who cannot afford Cadillac plans. Include tort reform and you'd have a winning plan for Republicans to cover ALL Americans which would be fiscally responsible. But that still does not get at the Medicare issue where 50% of the cost comes from people in their last year of life.
FB| 7.28.09 @ 6:57PM
He also not telling us that many of the admired countries in Europe have doctors on strike to protest the poor pay and working conditions.
http://www.ushealthcareplan.org/articles/doctors_on_strike.html
Missy| 7.28.09 @ 7:12PM
Liberals lie and Obama's a liberal--so what's the surprise that he repeatedly lies to the country? He probably stinks at math, too, because he's not very bright, but that's a different matter.
Matthew Vadum| 7.28.09 @ 11:33PM
Bob:
If Republicans back universal healthcare of any kind they will be signing their party's death warrant for all time.
If it's enacted, there won't be anything left to fight for. Universal, i.e. compulsory, government healthcare will destroy what we know as America. You cannot believe in American ideals and support universal healthcare, nor can you be a conservative while supporting universal healthcare. If you are indeed a Republican as I seem to recall you claiming, you are a Republican in the mold of Jacob Javits or Lowell Weicker, the proto-RINOs. They are not good role models.
There can be no compromise on this core issue. There is no such thing as "fiscally responsible" universal healthcare. It is categorically impossible. As a man of business, finance, and economics you ought to know this.
C4P| 7.29.09 @ 12:48AM
Matt, Bob's a troll. Geez.
I don't know why you AmSpec writers have so much patience for liars and poseurs such as 'Bob' who spew their BS all over this site. He's an ass, too.
Don L| 7.29.09 @ 7:35AM
"Error?" Harvard Law professors don't make simple errors like this. The left's rejection of absolute fixed truth and adulation of the benifits of relative truth make one great weapon to abuse rational-minded discourse. Think of the absurdity of a legal standard such as the constituion, being considered a "flexible" document (i.e. these words don't really mean what they apppear to be saying -just what we think at the moment -eminations/penumbra and stuff) In short a yard might be 32" if need be.
Let's buy it then- relative truth (equals relative morality) Then it stands to reason (ooops!) that if truth can't be true, then neither can their lies be true. What lies? "Life doesn't begin until birth."
Obama created a great new legal loophole for his culture of death when he excused Obamacide because of a woman's "intent " to abort -failing to say how many years after birth such intent is valid. I'm sure that Sotomeyer will tell us -sort of.
Nobama| 7.29.09 @ 7:51AM
Don, good post. I saw the handwriting on the wall when I found out that Obama supported infanticide.
If he would support killing a baby who had survived an abortion, I figured we were all fair game. It's only logical.
Bob| 7.29.09 @ 8:50AM
Matthew, I did not say universal health care. We already have Medicare and the VA. Using those systems as a safety net for those who cannot get other insurance just makes sense. Currently, these people have no preventative care and use the emergency room which is very expensive. I would not utilize this as an "option". Furthermore, if within the legislation any government option is required to be audited and utilize fully amortized costs, there is just no way the government can compete with private enterprise. If you believe the government can manage better than private enterprise, you aren't a Republican.
Keith| 7.29.09 @ 9:47AM
The biggest reason most countries deliver better healthcare is because they aren't paying 30% overhead for coverage which is the norm for private insurance. Medicare has about 2% overhead costs. A rational consumer should go with the least cost producer. Medicare for all!
Pingback| 7.29.09 @ 10:15AM
President Obama’s $6,000 Lie | Chicago Daily Observer links to this page. Here’s an excerpt:
Don| 7.29.09 @ 10:16AM
Keith needs to get his head out of wherever he has it stored. If you send the government $1.00, and expect to get something back, expect no more than $.30 back. It takes a lot more to run the bureaucracy than anybody's willing to admit. Just wait 'til HEALTHCARE is "FREE". You'll find that if you had the money you're paying the government to provide it, you could get almost three times as much and still be able to buy a cup of coffee.
ALWAYSVOTE| 7.29.09 @ 10:20AM
ONE BASIC TRUTH: FOREIGNERS STILL COME TO AMERICA TO GET BETTER HEALTHCARE WHEN THEY ARE UNSATISFIED WITH THEIR OWN...SO WHY FIX SOMETHING THAT WORKS JUST FINE?
Pingback| 7.29.09 @ 10:40AM
How You’ll Be a Criminal Under ObamaCare and More… links to this page. Here’s an excerpt:
Pingback| 7.29.09 @ 10:18PM
The American Spectator : AmSpecBlog : President Obama's $6000 Lie | Denmark today links to this page. Here’s an excerpt:
Marge| 7.29.09 @ 10:31PM
Dollar to dollar medical cost comparison of one country to another does not tell me much. Comparing the average incomes to the individual medical costs in different countries would tells me more ?
NOBAMA| 7.29.09 @ 11:08PM
All I know is if someone needs the best medical care in the world they come here to the US. How long do you think that will last after Obama and his liberal morons get done destroying our health care system?
They're such losers.
Philip Steele Krone| 7.30.09 @ 7:26AM
"Statistics lie, and liars use statistics." Stein, not Obama. Even if the $6,000 figure may be 'raw' as opposed to adjusted for comparative purchasing power, then in a sense, a $2,500 per person adusted difference is even worse. That would be for a nation of 300,000,000 three quarters of a trillion dollars annually.
There are some Holocaust deniers who admit Hitler had an extermination program but that only '1,000,000 Jews were killed' --- another statistical difference. Whether it was one death or ten million, three million or sixmmillion, the Holocaust, was the most systematic, evildeath machine in the history of the world.
Obama was right in principle. The 'facts' are sufficient to support both his premise and his conclusion.
Pingback| 7.30.09 @ 9:00AM
President Obama's $6,000 Lie - US Message Board - Political Discussion Forum links to this page. Here’s an excerpt:
Pingback| 7.30.09 @ 9:48AM
President Obama's $6,000 Lie - US Message Board - Political Discussion Forum links to this page. Here’s an excerpt:
cheryl| 7.30.09 @ 9:53AM
Philip you are insane. I spent 4 yrs in England and witnessed Gov't healthcare over and over.....it was exhausting watching the LACK OF CARE in that country! It's a shame! We don't need Gov't healthcare...we need JOBS and people need to work for their healthcare....keep giving people a gov't handout - they stay on the couch and be ridiculed for being fat - then taxed more to pay for it all! Philip you have no idea until you have left your main street and see what other countries have and do NOT have.
Pingback| 7.30.09 @ 10:54AM
Today’s Must-reads: July 30, 2009 | gopnation links to this page. Here’s an excerpt:
Kevin| 7.30.09 @ 2:07PM
"He also makes the classic mistake of comparing small, relatively homogenous, populations to the USA"
He also makes the mistake of believing the life expectancy of an entire population is dictated by the health care system.
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This is true, I know. - Page 2 links to this page. Here’s an excerpt:
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