Breitbart is reporting today that a White House study released on Friday found that President Donald Trump’s Obamacare reforms will save Americans roughly $450 billion over the next ten years.
That is wonderful news, but it is only temporary wonderful news.
The article reports:
A White House Council of Economic Advisers (CEA) study released on Friday found that Americans will save $450 billion through Trump’s Obamacare reforms. The CEA suggested that Trump’s repeal of the Obamacare individual mandate and the expansion of short-term insurance plans and Association Health Plans (AHPs) will save Americans billions over the next ten years.
The White House also suggested that the benefits of Trump’s deregulatory actions saved Americans billions, increased access to more health insurance options, and did not amount to a “sabotage” of the Affordable Care Act (ACA).
Unfortunately these savings are a result of Executive Orders, not legislative action. That means that the changes can theoretically be reversed by a future President. It would have been wonderful if Congress had stepped up to the plate and made the necessary changes.
The article concludes:
Many Americans have contended that because 80 percent of those who paid the Obamacare mandate made less than $50,000 a year, the individual mandate repeal serves as a significant middle-class tax break.
The CEA said about 87 percent of Obamacare exchange enrollees receive ACA subsidies and “only pay a fraction of their health insurance costs.”
Many Obamacare proponents suggested that the repeal of the individual mandate, as well as the expansion of short-term plans and AHPs, would lead to higher premiums on the Obamacare exchanges.
In contrast, the CEA contended that because more people will use AHPs and short-term plans and fewer people will use the ACA exchanges, the government will save $185 billion over the next ten years.
The CEA said that instead of sabotaging the ACA, the Trump administration offered millions of Americans more affordable health insurance options.
“The oft-expressed view that deregulation ‘sabotages the ACA’ by giving consumers more insurance-coverage options is misguided,” the CEA said.
The free market is always the best answer.