The former vice president commits an epic self-own in an attempt to protect his health industry donors
|Oct 21||Public post|| 40|
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The health insurance industry is relying on Democrats like Joe Biden to try to convert a debate over health care into a standard GOP anti-tax crusade. But there’s one problem: Biden just told on himself and undermined the entire misinformation campaign that is being promoted by right-wing organizations and health industry front groups.
Biden recently excoriated Bernie’s Medicare for All plan, claiming that under Bernie’s Medicare for All plan, “for people making between $50,000 and $75,000 a year, their taxes are going up about $5,000 because the fact is, they will pay more in new taxes.”
Biden, of course, is presenting the harshest interpretation of the numbers to try to undermine Medicare for All — and his figures have already been challenged by Politifact. However, even if you accept his skewed interpretation, you realize he is actually making the case for Medicare for All. He is doing that by inadvertently confirming what University of California economist Gabriel Zucman recently reported: “Medicare for All dramatically cuts taxes for the majority of workers.”
Biden Is Admitting Medicare For All Saves Middle-Class Families Thousands of Dollars Every Year
The Washington Post recently reported that many economists now acknowledge that “Americans already pay a massive ‘tax’ to fund health care…It just happens to go to private insurance companies, rather than the federal government.” These health industry taxes are insurance premiums, co-pays, deductibles and other out-of-pocket expenses.
According to Kaiser Family Foundation data, the average healthy family of four making $50,000 pays $6,050 worth of those health industry taxes every year — even when they have employer-sponsored health insurance. Biden insists eliminating this $6,050 of health industry taxes will require this family to pay $5,000 of Medicare for All taxes — which means even if you accept Biden’s argument, he is admitting that Medicare for All saves this family $1,050 every single year.
If this same $50,000-a-year family is on the individual market, they are paying $8,150 of health industry taxes. Paying $5,000 in Medicare for All taxes to eliminate $8,150 of health industry taxes means Medicare for All would save this family $3,150 every year.
It’s a similar story for the average healthy family that makes $100,000 on the individual market. They are paying $19,250 of health industry taxes. Biden claimed that under Medicare for All, that family could pay up to $10,000 more in taxes. Even if you accept Biden’s assertion, it would still mean this Medicare for All would save this family $9,250.
Biden’s Argument Is Even More Ridiculous When It Comes to Families With A Sick Kid
The tax argument against Medicare for All becomes even more ridiculous in other common situations. For instance, consider a family that has a sick child and that makes $50,000 a year.
If this family has employer-sponsored insurance, they are paying $7,850 of health industry taxes. Biden wants you to believe it would be horrible for this family to pay $5,000 of Medicare for All premiums to eliminate $7,850 of health industry taxes — even though under that scenario, the family would save $2,850 every year.
Similarly, if this family gets its insurance on the individual market, they are paying $12,550 of health industry taxes. Replacing those taxes with $5,000 of Medicare for All taxes means this family would save $7,550 every year.
Medicare For All Would Halt New Projected — and Regressive — Tax Increases
Matt Bruenig recently reported in the New York Times that when accounting for health industry taxes, “Americans pay some of the highest and least progressive labor taxes in the developed world.” And if there is no change, the situation is likely to get worse: the upcoming year, insurance corporations are projected to push for a 10 percent increase in health industry for those on the individual market, according to a recent report.
That would be an enormous corporate-mandated tax increase for roughly 13 million Americans — a tax increase that would boost profits for insurance corporations and help pay for the $2 billion of annual pay that health industry CEOs rake in.
By contrast, Bernie’s Medicare for All plan would eliminate those health industry taxes while guaranteeing Americans high-quality care. It can do that because it will be using health care resources to provide actual health care — not to provide more profits to health care corporations and their executives.
Bern after reading,