Ignorance may be bliss, but it cannot prevent the inevitable collapse

An actual ad encouraging young adults to get health insurance. (doyougotinsurance.com)

How in the world can anyone expect that a majority of an increasingly degenerate people accustomed to the “right” to vote should ever voluntarily renounce the opportunity of looting other people’s property? Put this way, one must admit that the prospect of a social revolution must indeed be regarded as virtually nil. Rather, it is only on second thought, upon regarding secession as an integral part of any bottom-up strategy, that the task of a liberal-libertarian revolution appears less than impossible, even if it still remains a daunting one. — Former UNLV economics professor Hans-Herman Hoppe, “Democracy: The God That Failed

Thomas Sowell questions why so many uninformed but potential voters seem willing, after six years of domestic and international disasters coming from Washington, “under a glib egomaniac in the White House, so many potential voters are turning to another glib egomaniac to be his successor” — Donald Trump to be specific.

Sowell concludes in his Inverstor’s Business Daily op-ed that the problem lies in the voters themselves. “All too many signs point to an electorate including many people who are grossly uninformed or, worse yet, misinformed,” he writes. “The very fact that the voting age was lowered to 18 shows the triumph of the vision of elections as participatory rituals, rather than times for fateful choices. If anything, the age might have been raised to 30, since today millions of people in their 20s have never even had the responsibility of being self-supporting, to give them some sense of reality.”

Which brings us to the central planners who are trying to tap that youthful contingent to support ObamaCare.

As David Hebert notes in an IBD piece today the viability of ObamaCare hinges on the unemployable subsidizing the uninsurable.

Numbers don’t work, but no one can do the math. Hebert points out that the projected 35 million enrollees is really only 16.2 million. For the program to be sustainable 40 percent of the enrollees need to be healthy people between the ages of 18 and 34, who incur lower costs. But his age group makes up only 24 percent of enrollees and has an unemployment rate of 8.2 percent.

This amounts to redistribution from the younger to the older. But since the younger people aren’t signing up, the premium rates keep climbing and the ObamaCare co-ops, despite being buoyed by federal grants and loans, are failing.

But younger folks don’t see it. According to a recent survey, voters 18 to 34 in age favor ObamaCare by 52 to 41 percent. “And they are indeed alone in that evaluation. Seniors, the main group that actually uses rather than simply theorizes about health care, strongly oppose it by 65 to 31 percent – more than 2-to-1 in several polls – and all adults over 50 oppose ObamaCare almost as strongly, by 57 to 37 percent,” according to Forbes article.

At least before the obvious economic failure of Eastern European socialism, it was widely thought by such rationalists that a centrally planned economy would deliver not only `social justice’ (see chapter seven below), but also a more efficient use of economic resources. This notion appears eminently sensible at first glance. But it proves to overlook the facts just reviewed: that the totality of resources that one could employ in such a plan is simply not knowable to anybody, and therefore can hardly be centrally controlled. — F.A. Hayek, “The Fatal Conceit

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24 comments on “Ignorance may be bliss, but it cannot prevent the inevitable collapse

  1. Steve says:

    They support it but they don’t sign up….figures, when it comes to ones own money, everything changes.
    Us older people don’t support it, but we use it so we can keep more of our own money!

    Politicians really believed they could force people to act contrary to their own best, financial, interests.

  2. nyp says:

    “About 9.9 million people had coverage bought on the online marketplace created by the Affordable Care Act and were paying premiums as of the end of June, the federal government reported last week. The government noted the figure is consistent with the U.S. Department of Health and Human Service’s enrollment target of 9.1 million at the end of 2015.”
    http://tinyurl.com/oc7ypft

  3. nyp says:

    “Earlier this month, the government reported something incredible: Just 9.2 percent of Americans lack health insurance. Why such big news? As I flagged at Forbes, it was the first time ever that a major survey found more than 90 percent of Americans had health coverage. Nearly 50 million Americans were uninsured in 2010, as the effects of the nation’s economic crisis hit their peak. Even in 2013, almost 45 million Americans didn’t have coverage. But just 29 million Americans were uninsured as of March 2015, according to the Centers for Disease Control and Prevention’s National Health Interview Survey. There’s never been a decline in the uninsured like this, save the introduction of Medicare and Medicaid 50 years ago. And the last time there were only 29 million uninsured Americans was back in 1982 — when the nation’s population was about 30 percent smaller.

    “At this point, it’s clear that the Affordable Care Act’s strategy to expand coverage, mostly through the Medicaid expansion and the launch of new insurance exchanges, has been a major success.”
    http://tinyurl.com/pfegu67

  4. Steve says:

    Interesting nyp doesn’t quote any cost figures…

  5. nyp says:

    “, the Affordable Care Act reduces the deficit, saving more than $200 billion over 10 years and more than $1 trillion in the second decade.” Source — Congressional Budget Office macroeconomic model
    http://tinyurl.com/q5jehxx

  6. Steve says:

    If it doesn’t break the bank along the way!

  7. nyp says:

    Obamacare’s projected cost falls due to lower premiums under health care law, CBO says
    By Max Ehrenfreund March 9
    “The estimated cost of President Obama’s signature health care law is continuing to fall. The Congressional Budget Office announced on Monday that the Affordable Care Act will cost $142 billion, or 11 percent, less over the next 10 years, compared to what the agency had projected in January.”
    http://tinyurl.com/ohnp25h

  8. Steve says:

    Because more people already had health insurance than what we were told……

    you guys are fascinating!

  9. nyp says:

    “Satisfaction with the Health Insurance Marketplace exchange enrollment process among new enrollees has significantly increased from 2014, and health plans obtained through the Marketplace exchange generate levels of member satisfaction equal to or higher than plans not obtained through the Marketplace exchange, according to the J.D. Power 2015 Health Insurance Marketplace Exchange Shopper and Re-Enrollment (HIX) StudySM released today.

    http://tinyurl.com/lnn9l58

  10. CBO and JCT have completed a preliminary estimate of the net budgetary effect of eliminating the requirement that individuals purchase health insurance and associated penalties established by the Affordable Care Act. We estimate that eliminating that requirement and the associated penalties would reduce the deficit by about $305 billion over the 2015-2025 period. That total consists of a $311 billion decrease in direct spending partially offset by a $6 billion decrease in revenues. Please see the attached table for year-by-year budgetary effects and a summary of the effects on health insurance coverage.

    https://www.cbo.gov/publication/50821?utm_source=feedblitz&utm_medium=FeedBlitzEmail&utm_content=812526&utm_campaign=Hourly_%272015-09-15%2015%3a00%3a00%27

  11. nyp says:

    ” But the move would increase the number of uninsured people, by around 14 million in 2025. Also, it would mean a roughly 20% hike in the premiums for individual insurance coverage, likely reflecting a less-healthy and smaller pool of consumers purchasing plans.”
    http://tinyurl.com/qfpt8ph

    Of course, that wouldn’t bother you a bit.

  12. nyp says:

    BTW, Mr. Mitchell, that CBO estimate assumes that the deficit reduction will occur because while fewer people will receive insurance subsidies, the various ObamaCare taxes — such as the medical device tax, the Cadillac Plan tax, the Medicare surcharge, the health insurance company tax, etc. — will all stay in place.
    Right?

  13. Steve says:

    Show me a tax,
    I will show you the definition of perpetual.

  14. The little nyper’s gonna need a bigger tube of lipstick…

  15. Rincon says:

    News flash: Health insurance has always been subsidized in this country. Previously, the subsidy came from other sick people and those with insurance in the form of higher fees from medical providers. Without that subsidy, our friend Athos would have bled to death on the sidewalk. The greatest difference is that today, Athos would have paid for, and probably gotten help with insurance.

  16. Rincon says:

    “How in the world can anyone expect that a majority of an increasingly degenerate people accustomed to the “right” to vote should ever voluntarily renounce the opportunity of looting other people’s property?” Worked for over 200 years. People are actually pretty reasonable as long as the rich and powerful don’t get too greedy. The young also hesitate to take assets from those richer than they because they have hope that they will someday have more themselves and wouldn’t want others to take from them.

  17. nyp says:

    “Census data released Wednesday show that 8.8 million people gained health insurance in 2014, the first year of ObamaCare’s coverage expansion. The report finds that 33 million people lacked health insurance in 2014, down from 41.8 million in 2013. That is a drop from a 13.3 percent uninsured rate to 10.4 percent.
    Other studies have also found large drops in the uninsured rate since ObamaCare. A report from the Centers for Disease Control and Prevention in August found that 15.8 million people had gained insurance through the first quarter of 2015, and the administration estimated in March that 16.4 million people had gained coverage. ”
    http://tinyurl.com/ordhb8d

  18. nyp says:

    “Ignorance may be bliss, but it cannot prevent the inevitable collapse” — Thomas Mitchell, September 15, 2015

    “ObamaCare might well blow up by mid-March, according to government document.” — Thomas Mitchell, January 22, 2014. http://tinyurl.com/ocxq7ko

  19. I thought there were 30 million uninsured before ObamaCare. In order to drop the number to 33 million they had to raise it to more than 40 million?

  20. Steve says:

    “In addition, slightly fewer people are now expected to sign up for Medicaid and for subsidized insurance under the law’s marketplaces. That’s because the agency now says that more people than anticipated already had health insurance before the law took effect, and fewer companies than anticipated are canceling coverage. All in all, three million fewer people are expected to sign up for Affordable Care Act provisions by 2025.”

    From Nyp’s link to a WashPo article.

    FEWER people than expected were without insurance and (at least until the Cadillac tax hits) fewer companies are canceling coverage.

  21. Winston Smith says:

    My glib egomaniac politician is better than your glib egomaniac politician, my glib egomaniac politician is better than yours…

  22. nyp says:

    “Unintended consequences: Watching the ObamaCare death spiral : 2014 will be the beginning of a death spiral resulting in an already broke federal government having to bailout hospitals and insurers.” — Thomas Mitchell, December 23, 2013. http://tinyurl.com/qgrxpzy

  23. Rincon says:

    Interesting quote. How were you able to dig it up?

  24. nyp says:

    “ObamaCare trend is for more uninsured not fewer ” — Thomas Mitchell, November 14, 2013
    http://tinyurl.com/oaphv5p

    Mr. Mitchell is performing a great public service by archiving his blog posts.

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