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Medical-Industrial Mafia Has Won By Dividing and Conquering The American People

The Washington Post begins to pull the covers back on the real problem of the new 0-care law. It punishes and penalizes good people and doesn’t solve the basic problem of the US medical services delivery system.

They are not eligible for subsidies, but they found a cheaper plan than the one being offered by their insurer. However, there was another problem: It would have required the couple to switch from the doctors they have seen for more than 16 years and travel more than 100 miles from their home to the nearest major hospital center for treatment — in Green Bay, Wis.

“I pay my taxes. I’m assistant chief of the volunteer fire department here in Cedar River and a first responder for Mid-County Rescue,” Prestin said. “You try to be personally accountable and play by the rules, but the more you play by the rules, the more you get beat up on.”

For consumers whose health premiums will go up under new law, sticker shock leads to anger – The Washington Post.

This mirrors the complaint I have made repeatedly.  For people who are in their late fifties and early sixties who make too much to be eligible for subsidies, insurance premiums, even plans with a $12,600 annual deductible for a couple are simply not affordable. The subsidy cutoff for a married couple is $62,000. Many small business people earn that much or a little more.  How many could afford $10,000 a year in insurance premiums for a policy with a $12,600 deductible and 20% co-pays? Perhaps those who are comfortably into a six figure income could, but not many below that would be able.

I’m 63 and my wife is 57. The cheapest quote I saw for a high deductible bronze plan in Palm Beach County, Florida was $745 per month from Humana. No other major insurer was below $1060. That tells me that Humana is offering a low ball teaser rate that won’t be available in 2015.

The law is unfair to older, hard working, self-employed people who must buy their own policies. Those who make more than subsidy eligible incomes but less than enough to be able to afford to pay full freight, are getting screwed. But what else is new? These are the same people who are getting screwed on their savings, either getting zero percent interest, or being forced to speculate in increasingly risky investments.

0-care not only fails to include everyone, creating winners and losers, it fails to solve the basic problem of the US medical services delivery system. The medical industrial complex extracts 18% of US GDP for itself. Compare that to the rest of the developed world. Health care takes approximately 11% of GDP in all other developed nations. The difference between 11% and 18% is the US medical-industrial mafia syndicate skim. It amounts to a 70% private  tax on the American people, above the cost of health care in the the rest of the world.

That 70% tax is forced on employers who must insure their employees. Laden with that burden how are these employers to compete with competitors from around the world who do not have to bear this cost? Not only is it 70% higher than the rest of the world, but in the rest of the world, it is the taxpayer’s cost, not the employer’s. In the rest of the world, because the government is the single payer in the market, or because it has busted the medical industrial cartel and tightly regulates the market, the rate payers get a huge discount on the services relative to the US. US employers are penalized in export markets because of this higher cost burden. They cannot compete. So what happens? They move the jobs overseas. American workers lose first because they pay more for medical care, and second, because they then lose their jobs.

Under 0-care, the US Government becomes the strong armed enforcer , the leg breaker, of the medical industrial mafia 70% skim. Here’s the deal, you pay us or you pay us.

Who gets the skim? Hospital chain and insurance executives are paid millions, when government run health care systems around the world do the same jobs with fewer people earning 1/10th of the salaries. Pharmaceutical and medical marketing and advertising in the US cost billions annually. These costs are unheard of anywhere in the world.  Hospital procedures in the rest of the world cost 1/10th to 1/20th of what they cost in the US.  Why is that? Because of the skim.

greedydocThen there’s the topic that shall not be named, and must be discussed in hushed tones in darkened rooms behind closed doors with drawn shades. It’s about the people in the white coats that we hold in such high regard, who often complain loudly about being hapless victims squeezed by the US system.  But excluding our primary care doctors, who are often real heros who are not overpaid, the truth is different. Medical specialists in the US typically earn at least double what the same specialties earn in every other developed country. The US cost problems start with them–the doctors, the medical “care” establishment. Unless that is brought under control, until the triumvirate cartel of doctors, hospitals, and insurers is crushed and the profiteering is ended, it will continue to bleed American society to death.

Because that triumvirate has so deeply embedded itself in the pockets of the politicians, wresting control away from the Syndicate looks unlikely. So far, no one has even tried. The Medical Industrial Syndicate’s propaganda has successfully divided the American people. We will continue to fight with each other rather than fighting the real enemy- the doctors, insurers, hospital executives, and pharmaceutical kingpins and their propaganda minions who form the Medical Industrial Mafia.  They are winning. They have successfully enlisted the government to increase their turf and enforce their skim, while keeping the American people enslaved by their evil system.  Ultimately, barring a miracle,  the system will again exclude more and more people, and the crushing burden it imposes on those who remain to pay the freight will lead to societal collapse.

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  1. Grand1

    Lee, where were these criticisms in 2009 when the policy was being formulated and the Republicans wanted to keep Americans from having an efficient, single-payer system? Monday morning quarterbacking helps no one. I would suggest you and the WAPO start beating the drum now for the new Congress to consider in 2015. Seems the press was asleep at the wheel before they decided the President was.
    Furthermore, where was the press in explaining the ACE to their readers? Did they expect the President to hire Hill & Knowlton, Ketchum, Fleishman Hillard to promote it? You the print media would have howled about those fees.
    As I said to Congress in my letters to them, “Do your job.” Listening to the whining about these things after the fact is getting really old.

  2. David Rabinovich

    Grand1 said

    “Lee, where were these criticisms in 2009 when the policy was being formulated and the Republicans wanted to keep Americans from having an efficient, single-payer system?”

    Are you saying you’ve been following Mr. Adler since 2009..? It doesn’t sound like you have, since Lee has brought up these criticisms multiple times before. FWIW, he was also in 2005 talking about the rampant fraud that was leading to the housing bubble and in 2007 he wrote multiple articles about the financial shenanigans that could lead to market instability .

    “Furthermore, where was the press in explaining the ACE to their readers?”

    It’s the ACA the Affordable Care Act not the ACE… Lee did previously critique some portions of the ACA but his primary job is discuss financial markets.. not political punditry. He doesn’t get paid to plow through over 1,000 pages of legislation, he’s a citizen like yourself, who however was writing about his concerns with the ACA 4 years ago and who was initially hopeful that it could work smoothly.

  3. Chriss Street

    The real travesty of Obamacare is not the incompetence of running a web site; it will be the “narrow networks” of specialist physicians. The plans as the article mentioned, cut specialty vendors to act as a constriction point against access to care.

    For the first couple of years, the Obamacare plan insurance companies will have lower costs due to rationing. But in a few years, patients will be much sicker and seek tertiary care from hospitals. Then the costs will accelerate and single payer will be the only alternative.

    Welcome to the future!

  4. Grand1

    Thank you for your condescension, David. I needed that on a Monday. The point of my point was “Why now?” And if you need to be so petty as to complain about a typo in making your pointless point. You have no credibility with me. I hope you and Lee live happilty ever after.

  5. David Rabinovich

    To Grand1:

    Who said:
    “The point of my point was “Why now?”

    Oh gee, perhaps because one can now, after four years, actually use the health care exchanges and see what medical services are available and how much they’ll cost.

    My condescension was in response to your obvious ignorance and use of logical fallacies when you presumed Mr. Adler hadn’t previously written about the impact of the ACA or the benefits of Single-payer health care which, for the record, both he and I support.

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