Those Obamacare "Savings" Have Turned Into Deficits

Reason 24/7ReasonNancy Pelosi may still think that Obamacare "is largely responsible for the deficit coming down," and supporters of the law have pointed to supportive Congressional Budget Office estimates (PDF), based on rather unrealistic assumptions, suggesting that the massive imposition of federal control over health care was a financial windfall for D.C., but the numbers no longer look so good.  In fact, says John Merline at Investors Business Daily, whatever you may have thought of the old math, recent changes in the implementation of the Affordable Care Act mean more red ink for the federal government.

From Investors Business Daily:

In September 2009, President Obama promised the country that "I will not sign a plan that adds one dime to our deficits — either now or in the future."

But it turns out Obama did sign such a plan — in fact, ObamaCare could add upwards of 180 billion dimes to the deficit in its first 10 years, an IBD analysis of various official budget reports found.

According to the Congressional Budget Office's initial forecast made in March 2010, ObamaCare was supposed to cut the deficit a total of $124 billion in its first decade. Democrats seized on this to show Obama had lived up to his promise.

Almost as soon as Obama signed the law, however, his administration started making changes that added costs and cut revenues. The most recent was the one-year delay in the employer mandate.

The result is instead of a $124 billion deficit cut from 2010 to 2019, ObamaCare will likely add about $18 billion in red ink over those same years. And that assumes nothing else changes in the years ahead.

As mentioned above, not everybody found the old happy talk about Obamacare's financial impact very convincing to begin with. As Michael F. Cannon wrote for the Cato Institute in 2010, those optimistic assessments were based on cost estimates for the program of $940 billion over the next 10 years, but he saw the actual cost as likely to exceed $3 trillion.

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  • Warrren||

    Covering my ears! La la la la la!

  • Jordan||

    /Shreeeek

  • ||

    I wonder if they expected this to happen but passed it for political advantage and control, or if they're sitting there now going "OH SHIT" as it implodes around them. I think it's probably the latter.

  • Warrren||

    Regardless, it's a crisis so they won't let it go to waste.

  • ||

    You think they realize it's imploding? That doesn't seem like you...

  • ||

    Delaying implementations for a year and shit like that means they know something is wrong.

  • ||

    Nancy Pelosi was very clear that it's not a delay. It's just...a delay.

  • ||

    We have to delay it in order to avoid finding out what's in it.

  • Rich||

    Nice.

  • ||

    Pelosi just made me think of a quote from Strangers With Candy, which, if slightly modified, applies to her perfectly:

    "You're just a rack of bones covered in a thin layer of fag hag."

  • Sevo||

    Epi, it's hag all the way through.

  • mad libertarian guy||

    Delaying implementations for a year and shit like that means they know something is wrong.

    I'd bet that the predominant theory in the administration is that the people who are implementing it are doing it wrong rather than there being inherent flaws in the plan.

  • Sevo||

    "I'd bet that the predominant theory in the administration is that the people who are implementing it are doing it wrong rather than there being inherent flaws in the plan."

    I'm gonna disagree. That presumes that the intent was other than the re-election of Obozo. I have serious doubts that the flaws are or were considered in light of issues other than that,
    Note that the smelly hag Pelosi is now lying (claiming) 'it wasn't a mistake'; she's got an election to face even if Obozo doesn't and she's hoping the SF voters believe it.
    They will, 'cause BUSH made her do it!

  • PH2050||

    I hate using the VA medical care system. It fucking blows, there's tons of shitty people who you can tell are just collecting a check, you have no choices (for instance, I once had a PCP who was a total dick and I couldn't understand his thick accent but I couldn't request a new one)...beggars can't be choosers, I suppose.

  • PH2050||

    My comment got cut off somehow. I wrote that to say that I don't see how people think government-managed health insurance is going to be great. It isn't. HMOs and all this other shit may suck but what the left wants sucks way more - I see that every time I have an appointment.

  • andarm16||

    But the VA has an EHR! How can a Hospital System with such a wonderful thing as an EHR give bad medical care. The Serious People tell us that EHRs are the wave of the future and will make everything better.

  • John C. Randolph||

    Nah, they love it when they have a massive debt to use as an excuse for more power and money.

    -jcr

  • Hugh Akston||

    Nancy Pelosi may still think that Obamacare "is largely responsible for the deficit coming down,"

    So Obamacare is made of tachyons?

  • Sevo||

    No.
    Pelosi is made of stupid.

  • Aresen||

    "And that assumes nothing else changes in the years ahead."

    Assume a unicorn....

  • Hugh Akston||

    I love that they passed Obamacare during his first term, so we can watch them squirm and sweat in real time as the true horror of what they created reveals itself.

  • ΘJΘʃ de águila||

    Unfortunately, many of them will revel as they watch the victims of Obama-scare squirm.

  • Hyperion||

    But this is great news! Deficits are good, need moar deficits!

    /Krugtard

  • Number 2||

    Hey, Obama was honest. He kept his word. He most certainly did not add "one dime" to the deficit. He added 180 billion of them. Where's the problem?

  • AlexInCT||

    Look, only an idiot took that CBO scoring claiming that Obamacare would save money seriously. They picked that 10 year window, started collecting many of the taxes immediately, planned to start offering some services after 4 or 5 years, fudged a whole bunch of Medicare and other numbers, and produced that ludicrous claim this plan would save us money. I bet that 3 trillion estimate for the first 10 years ends up being low, and it will be closer to 4, too. And the real fun start during the second decade.

  • Warrren||

    But other than that...

  • Swiss Servator - past LTC(ret)||

    Me too, anonybot, me too!

  • InlineSkate||

    http://thinkprogress.org/justi.....ealth-law/

    Does this rag have no shame?

    It's always Republican obstructionism even if they are stopping obstructionism coming from their own party.

    I mean shouldn't Democrats be opposed to the delaying of Obamacare implementation?

    Why the hell is Center for American Progress tax deductible again? I mean at least Reason is willing to slam both sides of aisle once in a while.

  • PH2050||

    The main argument among the comments seems to be "since Republicans don't like this law then they can't try to hold the President accountable for following it"...what a bunch of fucking morons. I will never regret leaving Facebook.

  • PH2050||

    "...*NOT* following it"

  • cavalier973||

    Tsk. Tsk. You're never going to get that toaster by posting about Obamacare and Pelosi, JD, unless you throw something in there about abortion and same-sex marriage.

    I mean, look at the latest abortion thread. It's only 61 away from the magic number as I type.

  • cavalier973||

    Ok, I see now that you managed to crest 500 posts with your July 10 P.M. Links. Did you get the toaster?

  • cavalier973||

    Well, we know that saving is bad for the economy, especially during the recession that we're not having at present, but that will resume if a Republithug manages to steal the White House in 2016.

    So this is a good thing.

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