Karl Rove begs to differ. In a recent Wall Street article, "Republicans Do Have Ideas for Health Care," he offers some alternative ideas like “workers can take their plans with them from job to job. This means giving individuals who buy coverage for themselves a tax advantage similar to the one that employers enjoy when they cover employees.”
Mr. Rove seems to think that employers get an extra tax break for providing insurance but this is not true. Paying for a worker’s insurance or providing a salary is equally deductible to employers. They are both just the cost of doing business.
Actually, it is the worker who gets the extra tax break, which includes both the income tax and the FICA tax. Many workers pay more in FICA taxes than income taxes so this partial tax break may help some but it will not solve the portability problem caused by the income tax.
Mr. Rove suggests that allowing small businesses to pool insurance, allowing health insurance to cross state lines, and federal malpractice reform are good ideas. To some, these may seem like good reactions to the problems but are they constitutional? Rove also advocates H.R. 2300, "Empowering Patients First Act," which has 249 pages. If passed, this will most likely evoke the law of unexpected consequences.
Republicans have ideas but they are not conservative ideas. True conservatives would advocate for free market medical care. Individuals would own their own catastrophic medical insurance policies and pay for most of their care out-of-pocket.
Free markets are markets without government interference and cannot be legislated. It is past government policies that created the income tax and the Federal Reserve Bank. They are the problem. Only by ending them, can we achieve a truly free market in medical care.
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