Obamacare and the 2014 economy (vanity)

me | 11/1/2014 | me

[2ndDivisionVet]

[DonaldC]

“The greatest impact would be in the first 4 months of the year, as disposable income gets redirected to pay deductibles.”

The greatest impact is the premiums... deductibles for these policies are unlikely to be hit in a year for most folks.

[BfloGuy]

What hasn't been mentioned is the impact on the economy as a whole. If the average family sees their disposable income reduced by 10 to 30%, the negative impact on the nation's economy will be huge.

It isn't consumption that drives the economy [contrary to popular opinion]. The shift in consumer spending from one area to another results in a net nothing to GDP.

Where Obamacare will harm the economy is by curtailing production. Entrepreneurs are not investing their capital in new production or expansion of existing production for fear of what the future may bring. This is resulting in fewer jobs and lower incomes for those who keep theirs.

Capital growth creates economic growth. Obamacare is consuming capital.

[SunkenCiv]

Thanks aimhigh.

The Obama Tax Hike

to go with

The Obama Recession

[Mrs. Don-o]

[A CA Guy]

I’ve been saying this all along. You take hundres a month more out of a family pocket and that money isnt going to eating out, movies, shopping or other private sector businesses.
Economy will be IMO hit by lightening with Obamacare.

[Logical me]

The greatest destructive force on families will be the deductible. The current thought that a major use of hospitals will be if the cost of the service is over the deductible they will ask the that amount in cash before the service. Emergent service could result in the hospital suing the family if they do not have ready cash. I heard a cancer victim deductible was 34,000. This could bankrupt most all middle class. The poor will be on Medicare and the rich don’t give a shi!.

[Sybeck1]

It will be a Hard Candy Christmas

[tbw2]

Tax increases are deflationary. Obamacare’s mandate is a form of tax, but not even recorded as such for many people.
We’ll see spending crash, and federal income drop.

[mellow velo]

It's my understanding that the subsidies that the FedGov will provide to offset the premiums will not be on a monthly basis, but instead will be made available when the person files their income taxes, i.e., early in the following year.

So those folks who take part in Obamacare will still have to foot the full bill for their monthly premium(s).

I have a feeling 2014 will be a terrible year for the economy (hopefully, the GOP can take advantage of it in the midterms, but this is the GOP we're talking about), and the sticker shock will also have a negative impact on this year's Holiday season, as well.

[txhurl]

It will be a Hard Candy Christmas

---

This can’t be repeated enough. How can an average family spend 1000 on Christmas to be paid off in Jan, Feb, March when Jan, Feb, March is taking 300-1200 MORE out of their pockets in premiums? A lot of people are going to have to kick the FOOD habit!

[VerySadAmerican]

I don’t speak to liberals. I don’t have liberal friends. It would almost be worth speaking to liberals again just to hear them cry. Almost.

[Mike Darancette]

So those folks who take part in Obamacare will still have to foot the full bill for their monthly premium(s).

Subsidies will be advanced to the carriers. Insured people will pay only their part.

[Mike Darancette]

Another thing; for Medicare Advantage you are forced to choose a doctor. Are there even doctors to be chosen in Obamacare?

[nascarnation]

It's my understanding that the subsidies that the FedGov will provide to offset the premiums will not be on a monthly basis, but instead will be made available when the person files their income taxes, i.e., early in the following year.

That is incorrect

The subsidy (aka your and my tax money) is sent to the insurance company and the insured person only pays the difference.

http://www.csmonitor.com/USA/DC-Decoder/2013/1001/Obamacare-101-how-the-federal-subsidy-works-video

[kevao]

The subsidy (aka your and my tax money) is sent to the insurance company and the insured person only pays the difference.

I've heard otherwise, yet again just today. But who the hell really knows for sure, what with 2,500 pages of law and more than 20,000 additional pages (so far, and exploding by the day!) of implementing regulations? Fact is, *nobody* knows *anything* for sure. And this is by design.

[kevao]

If the average family sees their disposable income reduced by 10 to 30%, the negative impact on the nation's economy will be huge.

It will give that nutjob Yellen an excuse for yet another -- more aggessive!!! -- round of quantitative easing. Further destruction of our currency, all in line with Cloward-Piven.

[nascarnation]

Send me a link (that you heard from) and I’ll investigate.
I showed my basis for commenting.

[kevao]

I heard it this morning on the Chris Plante show, on WMAL, maybe the second hour. I don’t recall him citing his source.