Forget that what was passed in the House yesterday is called Healthcare -- just notice what the bill did in terms of redistributing income from the rich to the poor. If you want an analysis with some of the specifics and some numbers, go to Bloomberg (http://www.bloomberg.com/apps/news?pid=20601010&sid=apU2CQDSEG9g ).
You can also go to a very through analysis of the bill by Deloitte at ( https://www.deloitte.com/view/en_US/us/Insights/centers/center-for-health-solutions/health-care-reform/health-care-reform-memo/315a3bd377587210VgnVCM100000ba42f00aRCRD.htm?id=email )
While almost every aspect of the bill has implications for redistributing income away from richer people and corporations -- here are a few of the key ones --
$103 billion Medicare Payroll Tax increase for families with incomes above $250,000
$88+ billion excise tax on insurance companies and brand name Pharmaceutical companies
2.3% tax on medical device companies (no dollar amount estimates) -- notice this is on all revenues -- not levied against profits.
$70 billion on premiums for expensive healthcare insurance
$466 billion in subsidies for health insurance for poor families
Isn't this amazing that they were able to make such large and permanent changes in income distribution (after taxes and subsidies)? So if you believe that income redistribution is important -- then you are very proud of ROBN. They accomplished what few other governments have been able to do. Of course, if you are on the other side of the issue then you are going to have a different set of feelings.
One more point before I let my friends nibble me to death. We all know there is a difference between tax changes and tax incidence. The REAL question, whether it relates to income redistribution or health care, is how this bill will IMPACT us in the coming decade. I won't extend this single post with the hundreds of impact issues because I know the next year will be filled with lots of good articles. I will throw out one tidbit -- to what extent has the CBO estimated the number of the 4 million households who might have earned $250,000 or more who will suddenly report income of $249,000 when the taxes are due. And how will this tax avoidance impact the macroeconomic system in the USA?