Greg Mankiw On Obamacare


A brief, but incisive post:

These two ideas–scrapping the subsidy for employer-provided insurance and instituting an individual mandate–make sense to me. The individual mandate turns the traditional liberal idea on its head: Health insurance is not a right but a responsibility.

Well, okay, he was writing in 2006 about Mitt Romney. But it’s still correct. The Affordable Care Act does not scrap the tax-subsidy for employer-provided insurance, but does curb it over time as part ofa graduate transition into an individual market underwritten by an individual mandate. That seems to me like a sensible compromise with human aversion to change.