private

With a reported bump in public support for some variation on Obamacare after the President’s speech last week, there is no time to rest. Rather, it’s time to drive stakes into the heart of the “public option” vampire. And stakes we shall provide. The following are solid reasons why no version of the public option must be resurrected:

1. A government “competitor” can’t go out of business when it fails. Failing government entities only drains resources from more productive places—not to mention from taxpayers. (Witness the Postal Service.) The left has been particularly disingenuous with this constant doublespeak about the public options offering “competition and choice.” This is another example of the left trying cleverly to co-opt the language of the right. Call the b.s.  
2. Sooner or later any public option will be subsidized by the government. This will put private companies at a competitive disadvantage, which is not only unfair, but threatens the private market so many Americans currently enjoy (despite all the cost-drivers created by government).
3. A public option will create a new set of special interests and dependents. These supplicants will be beholden to the Democrats and Barack Obama. This is why government programs never go away. People who don’t think this is really about buying their power with our tax dollars are kidding themselves.
4. Co-ops are a ruse. We already have non-profit health insurance companies with their own special place in the tax code. They’re called Blue Cross Blue Shield. Talk of co-ops is but a ruse to reawaken the vampire. Co-ops too must be killed.
5. A public option will have different rules to play by.That’s not fair.  Believe it or not, the regulations and mandates that make premiums unaffordable in places like MA, NJ and NY are not as bad at the federal level. So the regulatory framework for the public option would be more favorable than for insurance companies in most states. Another reason private insurers would die off—preparing the way for a complete government takeover of healthcare.

There are fundamental asymmetries between government and private companies. Those asymmetries make government provision of most goods and services unfair and illiberal. Let’s take these stakes and kill the public option. (Lest cries of “you have no proposal” go up from the Left, this should keep you busy. And this.)

(Note: Baucuscare – i.e. Obamacare Plan B – has most of the elements of the failed Massachusetts plan. The MA plan jockeys for most expensive in the country with NJ and NY. All are more expensive due to regs Baucus is proposing for the whole country.)