Since the decision on King V Burwell will be issued before the end of June, It seems fitting for me to address this upcoming monumental decision, now.
Most of you are aware that I have been an appellate in the Halbig V. Burwell case, which is exactly the same case as the King case, except we won the Halbig case at the second highest court in the land while King lost. Therefore, SCOTUS agreed to take the case, when King appealed the lower court’s decision.
With the King case expected to be issued any day, the media is hysterically peddling a gloom and doom scenario, if the Court rules against Obama and eliminates the illegal government subsidies in states that refused to set up a state exchange. On every channel, I hear frenzied reporting about how 6 million people could lose their government subsidies, if the court rules against Obama. Somehow, the media never stops to ask why the country suddenly can’t make it without government help, although we made it fine for over 200 years without this government coercion to buy insurance.
The media fails to report the fact that a much higher number of people will be benefited by a ruling against Obama. Why does the possibility of 6 million people losing their government subsidies so totally overshadow the 11 million people who would no longer have to pay penalties for going without insurance, an average per capita cost of $1,200 annually?
Also over 262,000 businesses with over 50 employees would also get relief from Obamacare’s employer costly penalties and mandate, which currently demands that they provide health insurance for all full-time employees
As many as 3,300,000 part-time workers could gain hours, and total pay could rise by as much as $13.6 billion.
Another benefit that could come from this ruling is transparency. Getting rid of these government subsidies/penalties will reveal the true increased cost of coverage to Americans and shine a light on how damaging this government interference in the free market has been. The Obama administration has thus far been able to mask these huge premium cost increases by paying subsidies to big insurance companies, so many are not even aware of the soaring costs under Obamacare. Americans have the right to know the truth about what their government has done and the impact their policies are having. Anytime we are able to shine a light on bad government policies and allow citizens access to the facts, it is a good thing.
Some thought that exchange enrollees might move to the left as a result of their enrollment in Obamacare, particularly if this was their first encounter with welfare. However, data suggests enrollees’ political leanings have actually trended away from Democrats. Forty-eight percent of those surveyed indicated they voted for Obama, in 2012. Just 25 percent said they voted for Romney.
Going forward, however, only 35 percent of all Obamacare exchange enrollees say they will vote for the Democratic candidate in 2016 – a 13 point drop
From 2012. It seems that Obamacare has not turned out to be as attractive as some had hoped.
Then there is the undeniable benefit of stopping an overreaching government that thought they could tell us what to buy, tell us how much to pay for it, and punish those who objected. This is one reason why Congress’s response to King v. Burwell is so important. If Congress unwisely extends the Obamacare subsidies, it will legitimize a power that government should never have been given. Freedom of choice is too important an outcome for Congress to surrender because they think it may win them a few more votes in the next election.
Additionally if Congress starts down the road of extending Obamacare subsidies, experience tells us that it will never stop. We’ll see extension after extension, while Congress promises to kill it if we’ll only elect them one more time. Tomorrow never comes.
We also can’t forget that stopping these penalties and subsidies will cause Obamacare to start to unravel and go in to a death spiral. So, if we really want to end Obamacare, it is crucial that Congress not step in to save it now by extending the subsidies. This case could be the escape hatch we have been praying for, so we need to ensure that Congress does not weld it shut on us
If we don’t take the opportunity to kill Obamacare when we can, then we will see it greatly contribute to the future bankruptcy of America.
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