John C. Goodman

Don’t Destroy Medicare Advantage

Don’t Destroy Medicare Advantage

Writing in the Wall Street Journal, John Goodman says the Medicare Advantage program is arguably our best health care system, while Medicaid is the worst. Yet essentially the same private insurers are involved in administering both programs, just as they are the main players managing employer plans and (Obamacare) exchange plans.

The best feature of the MA program is that these plans are the only plans in the whole health care system that actually try to attract sick enrollees. That’s because they get risk adjusted premiums that reflect the higher cost of care.

Right now, MA enrollees save about $2,500 to $3,000 a year when they choose an MA plan over traditional Medicare. A House bill introduced by Lloyd Doggett (D-TX) and 40 other liberal Democrats would eliminate those savings as well as free extra benefits (hearing, eye and dental care, etc.) MA plans provide.

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What is Socialism?

What is Socialism?

If you can believe the polls, socialism is more popular than ever. Gallop says that roughly two-thirds of Democrats have a positive view of socialism. The same is true for half of young adults. But what exactly is socialism? If it means anything it means a lack of economic freedom. In a socialist world, people are not at liberty to engage in free exchange with each other. Every economic transaction is regulated or potentially regulated by the state.

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The US Ponzi Scheme — Transferring from Young Savers to Old Spenders

The US Ponzi Scheme — Transferring from Young Savers to Old Spenders

In 1960, 70-year-olds consumed, on average, about 70 percent of what 40-year-olds consumed. Today they consume about 140 percent!

The US has spent the postwar passing the generational bucket. It has done by borrowing on the books, but primarily off the books. As discussed here, our underfunded official and unofficial obligations to younger generations have reduced US to a position of complete fiscal insolvency. Indeed, we’re now in far worse fiscal shape than is Italy. Yes, Italy’s ratio of official debt to GDP is still higher than that of the US. But its off-the-books liabilities are far smaller as a share of GDP. More

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Peter Ferrara, RIP

Peter Ferrara, RIP

Peter Ferrara was a graduate of Harvard Law School. He could have been a wealthy DC lawyer. Instead, he spent his life in the less remunerative world of ideas. Peter was one of a kind. We are unlikely to see someone like him again.

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An Alternative to High Deductibles

An Alternative to High Deductibles

Next year, the out-of-pocket exposure for someone who buys insurance on the (Obamacare) exchange will be $12,000. It will be $24,000 for a family. If they have chronic health problems, families can face those costs every year.

Congressman Pete Sessions and John Goodman offer a better alternative. Give people a deposit to a Health Savings Account if they agree to be responsible for all preventive care, all primary care, chronic care management, or some other area of care.

The model is Cash and Counseling, the Medicaid program for the home-bound disabled – a highly successful program that has been around for several decades. More

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Trump’s Best Health Care Idea

Trump’s Best Health Care Idea

Writing in the Wall Street Journal, John Goodman says the Trump Administration’s proposal to permit non-network health plans “promises to solve two problems: extreme differences in actual prices for the same service because of a lack of price competition, and narrow networks that are denying patients access to the best doctors and medical facilities.” More.

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The Morality of Taxation

The Morality of Taxation

In contrast to a moral approach to taxation, some argue for an immoral, or at least amoral, approach. The most prominent among them is former New York Times columnist Paul Krugman. His approach to taxation of the rich is the same approach a petty thief would take to garden-variety robbery: grab whatever you can get. Krugman guesses that the revenue-maximizing tax rate for someone like LeBron James could be as high as 90 percent. Slaves on southern plantations were able to consume a 9-times-greater share of their output than Krugman would allow for James. More.

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Why is There a Birth Dearth?

Why is There a Birth Dearth?

  1. The opportunity cost of motherhood
  2. The cost of successful child rearing
  3. The cost of childhood competition
  4. Government regulation of housing, education, day care, etc.

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