From the AFL-CIO Executive Council, 3.2.11
...The long-term budget picture is slightly different. Projected long-term deficits are driven almost entirely by health care expenditures that are growing faster than the economy, which means we will need to take further steps to rein in health care cost growth—on top of the progress already achieved by the Affordable Care Act of 2010. We should do that by building on the proven payment and delivery system reforms of the Affordable Care Act, providing for Medicare drug price negotiation, easing restrictions on the importation of prescription drugs and offering the choice of a public health insurance option in every state insurance exchange.
We should also learn from the experience of other industrialized countries, which shows that the most cost-effective and equitable way to provide quality health care is through the social insurance model. Whereas health expenditures in the United States now account for about one-sixth of our economy, countries that have adopted a social insurance model have succeeded in keeping their health care costs below 10 or 12 percent of GDP. We will continue working with Rep. McDermott (D-Wash.) and Sen. Bernie Sanders (I-Vt.) to introduce legislation that provides a social insurance model for health care reform that is progressively financed and provides a single high standard of comprehensive care for all.
But we cannot solve the problem of excess health care cost growth through increased cost-sharing, which simply shifts the cost to individuals. For this reason, the AFL-CIO strongly opposes Medicare vouchers, any increase in Medicare cost-sharing and any limitation on the tax exclusion for employer-provided health coverage, which would result in higher out-of-pocket costs for consumers. We also oppose changes to the Medicaid program that would shift more costs onto beneficiaries, as well as structural changes such as block granting that would reduce the federal commitment to health care services for low-income and disabled Americans...
Published March 4th, 2011Like this post? Consider sharing it on Facebook or Twitter.