Obamacare: underestimated by $111 Billion ... so far

[heymikey80]

Cost estimate for insurance aid jumps $111B; administration cites technical budget issues - The Washington Post

Cost estimates for a key portion of President Barack Obama’s health care overhaul law have ballooned by $111 billion from last year’s budget, and a senior Republican lawmaker on Friday demanded an explanation.

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Administration officials say the explanation lies in budget technicalities and that there are no significant changes in the program that would raise concerns.

Technically, the insurance plan increased in price by $111B and there were no changes in the program.

 

[JoyJuice]

From the article;

"Both the administration and the budget office (CBO)agree on a bottom line conclusion that the fix ultimately saved money for the government, because the Medicaid savings are bigger than the new exchange costs."

 

[heymikey80]

From the article;

"Both the administration and the budget office (CBO)agree on a bottom line conclusion that the fix ultimately saved money for the government, because the Medicaid savings are bigger than the new exchange costs."

Great. So it's better because it's better than doing nothing?

"It spends less, even though it spends more." That's not the kind of logic we need.

Long term the outlook is equally grim.

Mr. Bowles (D) also emphasized the need to find significant savings in federal health spending and other entitlement programs. If not, he added, "it will just consume the budget."

U.S. Deficit-Reduction Panel Gives Priority to Spending Cuts - WSJ.com