Monday, August 24, 2020

Why Are Trump and the Republicans So Afraid of Competition When It Comes to Drug Prices?

President Trump recently signed two executive orders directly related to prescription drug prices in the U.S.

One order would allow the "reimportation" of prescription drugs from Canada. This longstanding idea would allow U.S. pharmacies and drug wholesalers the ability to pay generally much lower prices for their prescription drugs by getting them from Canadian suppliers who benefit from government management of the system. Many consumers have been buying direct from Canadian pharmacies for years since current prohibitions have not been enforced against individuals.

Saturday, August 15, 2020

Kamala Harris Has Had Some Difficulty With the Health Care Issue

Kamala Harris has had some notable difficulty with the health care issue.

At a Democratic debate in June 2019, the candidates were asked, "Who here would abolish [employer-provided] health insurance in favor of a government-run plan?'

Harris enthusiastically raised her hand––joined over the two evenings of the debate by Sanders, Warren, and de Blasio. Not a surprise since she had already signed on to Bernie Sanders' single-payer health bill.

But the next day she walked that hand raising back. This from NBCNews.com:

Kamala Harris was one of two candidates who raised their hands when asked at Thursday night's debate if they would get rid of private health insurance, but the California senator said Friday she'd misunderstood the question.

"No," Harris told MSNBC's "Morning Joe" when asked if she'd work to abolish private health insurance in favor of "Medicare for All" if elected president.

But in her subsequent answers, she struggled to clarify her position about the role of private insurance under her plan, something that has become a pattern in recent months as Democratic candidates look to navigate politically charged questions about Medicare for All's policy implications.

Sunday, August 9, 2020

Trump Calls for Making Permanent Cuts to Social Security Payroll Taxes

President Trump said over the weekend, "If I'm victorious on November 3rd, I plan to forgive these [payroll taxes for Social Security] and make permanent cuts to the payroll tax."

Currently, employers and employees split the 12.4% payroll tax on the first $137,700 of 2020 earnings and also split the 2.9% Medicare tax on all earnings. The self-employed pay the entire tax.

Trump not only wants to suspend the Social Security tax during the pandemic crisis, he says he wants to make permanent cuts to the tax.

First, the only people who pay these taxes are people who still have their jobs and their earnings. With millions unemployed it can be argued that it would make more sense to increase deficit spending by providing help directly to those who don't have any earnings––the unemployed.

But the bigger question revolves around the suspension of funding to Social Security––particularly permanent cuts.

Both the Medicare and Social Security trust funds are running out of money––both face an inability to pay full benefits if their problems aren't solved by either increasing funding or cutting benefits. That is projected by the Congressional Budget Office to happen for Medicare in 2025 and Social Security in 2031.

So, with Social Security solvency teetering, why would you cut the taxpayer provided funding source?

Friday, August 7, 2020

Well, That's a Fine Fiscal Mess They've Gotten Us Into––Fiscal Irresponsibility and Hard Hearted Republicans

The Covid pandemic has led to extraordinary government spending.

I have no doubt that it is necessary in order to avoid not only further economic collapse but massive suffering. Sure, there are some people making more in unemployment benefits than they made working and have spent the summer partying at the beach and ignoring social distancing rules.

Remember, the $600 a week additional unemployment benefit was originally the Trump administration's idea.

But I have no doubt there have been more families that have been able to put food on the table had it not been for this assistance. Emergency action gets really messy.

Republicans seem only to be able to see the partying and have a blind eye to the suffering. 

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