Running head: OBAMACARE


Why ObamaCare is Doomed to Fail
Final Project

Liza Kirkley
English Composition II
Ann Knowles
Brown Mackie College-Salina

increased healthcare costs.OBAMACARE 2 Abstract ObamaCare appears to be a big judgment error that the president made in an attempt to reform the American healthcare system.S. economic recovery. Its major impacts include reduced care for the elderly. In its attempt to attain universal health insurance coverage for all American citizens. limited job creation. but also antagonized millions of Americans. ObamaCare has not only weakened the U. It is evident that ObamaCare is not sustainable. and high insurance premiums that only benefits insurance companies. .

Medicare is already suffering from serious financial challenges with approximately $38 trillion in unfunded liability. by 2014. Millions of Americans have seen their healthcare premiums increase even with premium assistance and federal tax credits.OBAMACARE 3 Why ObamaCare is Doomed to Fail It is now three years since ObamaCare was passed. Nearly 25% of all seniors in the U. . According to the Congressional Budget Office forecasts. the reality turned out to be different. are currently enrolled under the Medicare Advantage Program. a former physician at Irwin Army Community Hospital. The president and Democratic Party leaders campaigned on the idea that ObamaCare would result in low premiums and universal coverage for all Americans. This paper discusses the major negative impacts of ObamaCare that will ultimately lead to its failure. According to Dr. The Democrats applauded this law in reason that it is the best cure to the ailing healthcare system in the United States. providers will not be able to sustain the expanding negative margins. However. The high increase in retirees is expected to create unprecedented demand on healthcare even in the absence of ObamaCare effects. With ObamaCare. Stevens’ views that ObamaCare is going to have a negative impact on the elderly. while ObamaCare is a conceptually a good idea. it is estimated that nearly $575 billion will be diverted from Medicare to the program in the next decade. More than 77 million began to retire in 2011.S. Stevens. These statistics support Dr. it has both bad and good elements. With time. and they will be forced to stop serving Medicare beneficiaries. 3 million Americans will lose their health coverage completely. He argues that the extra funding necessary to fund the program coupled with additional taxes will have a negative impact on the elderly.

the elderly. Whereas it limits certain kind of problems. According to Garson. Personal communication. even though they will pay higher insurance premiums compared to the healthcare they will consume. resulting in higher premiums. The employers contribute 70% of the premium. In addition. one of the popular elements of ObamaCare is the concept of individual mandate where many citizens are pushed to purchase insurance or face penalties. taxes levied on medical equipment and fees levied on insurance policies for comparative effectiveness studies will all be passed over to healthcare consumers (Wear. for the plan to succeed. where American citizens are guaranteed a basic health plan of their choice as opposed to a healthcare maintenance organization. any viable healthcare plan for U. Stevens. 19). It turns the key but really does not drive the car (Dr. the need to take care of everybody is very important.S. Under the current system. ObamaCare is code down and does not permit the best practice to occur. nearly 28% (the poor. if they get an order to go to a war. 2015). In fact. (2010. nearly150 million citizens accounting for 48% of the total population obtain their insurance cover from their employers. and the disabled) receive healthcare coverage assistance . September 14. Of the remaining population. 2013). This implies that failure to convince healthy citizens would mean that only sick citizens would purchase the new insurance pools. they do not really have a choice because that is their duty. The success of ObamaCare is tied to its ability to persuade. 2011. The individual mandate is a form of tax. citizens who have no immediate demand for healthcare have to be persuaded to join the plan.OBAMACARE 4 ObamaCare is not inclusive. p. if not force healthier citizens to enroll in the program. citizens should be based on universal coverage. p. Stevens puts it. While proponents of ObamaCare argue that watertight regulation on insurance companies will offer consumers added protection and is therefore worth the increased cost. while the individual employees pay the reaming 30%. ObamaCare is like taking care of the soldiers. As Dr.

p. Family coverage on average costs $15. budget. by 2022 healthcare spending is projected to increase by $1. ObamaCare compounds this problem by pushing young citizens to purchase insurance premiums at artificially high premiums where insurance comapnies will temporarily inflate insurance prices for the young with the objective of subsoidizing for the sick and the elderly.OBAMACARE 5 inform of Medicaid at 13% or Medicare at 15%. Given the skyrocketing healthcare costs.76 trillion. employees may no longer be able to maintain their coverage. Given that the insured citizens consume more healthcare compared to the uninsured. Under the present payroll tax regime. According to Kaiser Family Foundation 2013.the need to take care of the crack.S. This according to Dr.9% in 2010 to 19. Stevens is the major goal of ObamaCare .9% by 2021. Instead of addressing the rising healthcare costs.745 per annum. 1. one of the priorities that ObamaCare should have considered is cost control by reducing the national health care spending. p. With the new plan. ObamaCare has worsened the problem because national hralth spending is projected to increase from 18% of GDP at present to 25% of GDP by 2037 (Center for American Progreess 2013. In addition. At present. p. with the young subsidizing both Medicare and Social Security benefits.615 per annum as the cost of coverage. the plan will increase overall healthcare spending. 1). the percentage of healthcare spending to GDP will increase from 17. . The increased healthcare spending will significantly worsen the federal deficit. those who have insurance on average pay $5. Insurance companies are likely to be the biggest benefactors of ObamaCare. Medicaid and Medicare drive healthcare accounts for more than a quarter of the U. the young workers are already being discriminated. 18). According to Corbett (2013. The program discriminates against the young working population in favor of the elderly population.

the effects of the plan will be far. ObamaCare appears to be an error of bad judgment. .reaching to the economy. In conclusion.OBAMACARE 6 ObamaCare is likely to increase hiring costs significantly for employers. American citizens and the country as a whole. based on the above analysis. If implemented as it is. discourages employment creation because by making it mandatory that employers have to purchase health insurance for their workers if they exceed 50 in number. Many companies will prefer to hire only 49 employees or below to avoid incurring the costly health insurance expenses for their workers. This will in turn.

2013 Employer Health Benefits Survey. Retrieved on 11 September 2013 from: <http://www. A. Doing Good and Doing Well: Corporate Social Responsibility in Post ObamaCare> Telephone Interview with Dr.americanprogress. Principles. 41. American Journal of Bioethics. Stevens (Former Physician at Irwin Army Community Hospital) on> Corbett. Sense and Nonsense in the Conservative Critique of ObamaCare. Wear. (2011). (2010). (2013). J. Medicine & Ethics. . 17-20. Garson.full> Kaiser family Foundation (2013). S. 11 (12). Journal of Law. Retrieved on 11 September 2013 from: <http://kff.OBAMACARE 7 References Center for American Progress (2013). 17-21. and Potential Solutions. Albert Retrieved on 11 September 2013 from: <http://circ. Cutting Health Care Costs.ahajournals. The US Healthcare System 2010 Problems.