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When Government Competes With The Private Sector

One of the basic reasons for so much opposition and clamor over the proposed HR3200 Health Care Reform package has been the fear of any government run business. And the public option factor in the bill simply reeked with government take over of the health insurance industry. They claimed it would not but it most assuredly would have. It would have placed an unfair, tax supported segment of health care in a position to bankrupt the private insurance companies. And everyone knew it.

The White House has now let it be known they will consider allowing non-profit cooperatives to take the place of the public option. Many hail this as a great step towards passage of a reform package. And I hope it does work for the best. I am not aware of just how non-profit cooperatives will be formed or how they will function, or by whom. It sounds some better, but I still feel that the government will end up forming their own wealthy associates into a private non-profit organization and thus still be wielding control over the industry. Non-profit organizations, regardless of by whom, will inherently have an advantage over those who are in business for profit. 

But, the American people are wary of anything run by the government, and for good reason. There is so much corruption and greed among our elected officials that they can, and usually do, destroy everything they get their hands on. The U.S. Postal Service is a perfect example. Although a unit which is supposed to be self supporting, it has relied upon government subsidies to offset their poor business management. United Parcel Service and FedEx are faring well and earning money while the taxpayers are seeing their dollars propping up a poorly
run postal service. The USPS is now considering closing numerous small Post Offices, going to a 5 day service and other cost saving tactics in order to avoid heavy financial deficits.

In one sense, I believe the supposed “concession” may be a hazard. It will be held up as a great effort to achieve bi-partisan support for the bill. Yet there are many more undesirable aspects in the original bill other than the public option. The moderates and conservatives in Washington need to proceed with caution or they will find this bill to still have the undesirable aspects for the elderly. Our present Medicare and Medicaid are government run portions of health care and, once again, it shows just how government run segments of our health care can become a detriment. Although Medicare is of much value to the elderly, governmental oversight, including the spending of funds from the Social Security account for other purposes and a constant adding of those to become eligible beneficiaries, while shirking their responsibility to find places to fund the account, it is about to become insolvent.

Also, the suggestions being whispered that the president, or this one or that one would be willing to accept non-profit private cooperatives instead of the public option, has yet to become a reality. It is only now in the position of a “carrot on a stick” proposal. Read the following statement:

Senate Majority Whip Richard J. Durbin, Illinois Democrat, said on CNN on Aug. 9 that he would be willing to support health care legislation without a public option. But he added that even if the Senate passes a health care reform package without a public option component, Democrats, who control both chambers of Congress, still could insert the provision during negotiations between House and Senate versions of the bill.  (Obama may drop gov't-run health insurance plan--Sean Lengell; Washington Times, Aug. 17, 2009)

So it remains to be seen just what kind of bill will emerge for final passage. I do believe this, however, if the radical elements in congress and the White House succeed in pushing through any semblance of their present socialistic bill, there will be a voter revolt which will assure a party change in the majority of  both houses and the White House in 2010 and 2012. This administration has already flexed it’s temporary muscle in the face of the American people, far too many times. The polls show the president and both houses in congress with less than a majority of voter approval already and such a brash move will only plunge it lower. A Rasmussen poll for today, shows that 58% of likely voters believe the next president will be a Republican.
 

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