The Paradox of Government-Run Health Care

Dennis Smith /

While Peter Orszag, Director of the Office of Management and Budget, likes to describe how some vague payment reforms will “bend the curve,” the reality is Congress and the Administration are trying to put more people on a leaking boat.

The Mess in Medicaid and SCHIP. Only a few months ago, California wanted to expand its State Children’s Health Insurance Program (SCHIP) to 300 percent of the poverty level, enrolling children in families making over $62,000 per year. Governor Schwarzenegger is now threatening to end the entire program because the state is broke. The state of Washington is increasing cost-sharing for its state health program in the “hope” that people will drop their “public” health plan. In exchange for stimulus money, states cannot touch (more…)