Monday, May 5, 2014

Obamacare costs will bust the budget unless healthcare is reformed

Eight year after Romneycare began, Massachusetts may show what Obamacare will mean.  Massachusetts has the lowest rate of uninsured in the county (3.1%) and the highest per capita health costs.  ($9,276 vs US average of $6,815)  Emergency room use for non-urgent care has not declined. 

Like Romneycare, Obamacare will extend coverage to virtually everyone, but the cost will be high.  If the Massachusetts model is predictive, then health costs will rise from 18% of GDP to 24% of GDP. (OECD average is 9.3%)  Like Romneycare, Obamacare extends the system without reforming it. 

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