The federal government now finances 90% of the cost of Medicaid expansion, but that doesn’t make it free. A recent report found that Medicaid represents about 29.7% of total state spending in fiscal year 2018. In 2008 it was 20.5%. These numbers will continue to grow, sucking up more of our limited funds. Thanks to a lack of fiscal discipline from both parties—and the unwillingness of the American people to confront our perilous finances—we are currently running trillion-dollar deficits and the national debt stands at around $22 trillion. We can’t pay for the government we have; expansion will just add to the burden of future generations.
President Trump spoke out on Wednesday against surprise medical bills, highlighting an issue that has received bipartisan concern in Congress. “The health care system too often harms people with some unfair surprises … medical bills and the like,” Trump said. “We’re going to stop all of it, and it’s very important to me,” Trump added. Sen. Bill Cassidy (R-LA) unveiled bipartisan legislation to end surprise medical bills in September, Sen. Maggie Hassan (D-NH) has legislation on the topic as does Rep. Lloyd Doggett (D-TX) in the House.
| Price controls prevent drug companies from even having a chance to profit, thus destroying the incentive to invest. Developing a new prescription drug is an extremely risky endeavor, typically taking up to 15 years and $2.6 billion. The failure rate is extremely high; about 9-in-10 experimental drugs that enter clinical trials never receive regulatory approval. Investors are only willing to fund this risky research because they might profit if a drug is successful. Artificially capping drug prices would also discourage research and the development of tomorrow’s miracle drugs. |
Short-term plans are temporary insurance plans that provide health coverage for individuals and families for a limited period—and can be renewed for up to three years. Short-term plans can be purchased at any time, unlike other plans available on the individual market which restrict enrollment to open enrollment periods or following a life-changing event. Coverage usually begins within a few days compared to other medical coverage that can take several weeks to begin. Because short-term plans are not subject to all of the same federal regulations as plans in the individual market, premiums are far more affordable and insurers can offer more customized choices. So why would nearly a dozen states ban them?