The result? Homeowners end up having spent 3 times the original estimate and should have renovated.
Over at Mauldin Economics, Patrick Watson suggests a similar analogy to explain why Obamacare is collapsing. Whether someone's an Obamacare fan or not, everyone ought to know what to do in order to survive the inevitable Obamacare collapse.
When it comes to healthcare, Watson argues that Americans are like drug addicts: They are in denial. If Americans are to become healthy again, the first step to solving a problem is admitting they have one.
To that end, Watson then offers some reality therapy for Americans to consider:
- Americans spend far more $$$s on healthcare than any other developed nation.
- The ROI: Not only are Americans no healthier, they're less healthy overall.
Check out this chart:
That's the "take away" most talking heads in the mainstream media desperately want to cement into the minds of folks. It's also what politicians on both sides of the aisle want people to believe. Why? It's in the interest of both Democrats and Republicans to "reform" not "revolutionize" U.S. healthcare.
Watson's "take away"? No reform plan will work.
Watson traces the origins of today's healthcare debacle to the 1980s. The Motley Monk believes those origins antedate Presidents Trump, Obama, G.W. Bush, Clinton, Reagan as well as Carter, Ford, and Nixon. They're found in President Lyndon Baines Johnson's "Great Society."
Now, check out this chart:
But, liberal Democrat that President Johnson was, the simple truth is that, when it comes to expanding healthcare entitlements, there have been no better Democrat presidents than conservative Republicans.
That's bad enough. But it's very, very bad conservative economics.
Even worse--and perhaps what will prove catastrophic--is that all of those extra $$$s left 2.5M low- and middle- income citizens with little or no access to healthcare. The liberal Democratic vision not only didn't work but ends up being unsustainable! Check out the data from a Kaiser Family Foundation study which indicate those folks make too much to qualify for Medicaid, but not enough to qualify to receive Obamacare tax credits.
With the mainstream media talking heads stating that Obamacare is going to "collapse," "explode," and is "unsustainable," what that means in plain English is: "All of those currently on Obamacare will have no healthcare insurance in 1 or 2 years."
The time to prepare is now. Watson offers some suggestions here.
For The Motley Monk, when it comes to U.S. healthcare the $$$s Americans must pay for it (after all, there is no such thing as "free" healthcare), the operative word isn't "repeal" or "replace." No, it's "revolutionize." And President Trump would be wise to appoint a conservatrive, Newt Gingrich, and a liberal, Ezechiel Emanuel, both of whom have wide ranging expertise to bring to the table, to co-chair a national task force charged with coming up with a program for Congress to approve.
Let the discussion begin...
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