Douglas Holtz-Eakin, former Director of the CBO, spoke before the National Association of Health Underwriters recently. During his presentation Holtz-Eakin gave his opinion on several aspects of the ‘Affordable Care Act.’
He spoke about four kinds of costs associated with the act:
- Budget
- Missed opportunity
- Economic policy
- Political
He also gives his perspective on the CBO scoring process and the restrictions inherent in it. “The CBO is not allowed to ever say two things about a piece of legislation: It can not by law ever say ‘That’s not a good idea’ and it can not ever say ‘That’s never going to happen’.”
These ‘golden handcuffs’ lead to a CBO score that is based on the legislative language rather than the other reality’s that may effect the actual costs when the law is implemented. This is not limited to ObamaCare but, given the enormous costs (and promised savings), has frightening implications.