Obama does not explain how he plans to pay for the huge increases in the cost of his Healthcare plan.
The Obama plan would also create new subsidies to cover the uninsured and help people facing high health costs. That, and the fact that we can’t expect to see savings in the health sector that approach the promises made by the campaign, will unavoidably mean higher taxes. The Senator would increase the top two income tax brackets, raise the top capital gains tax rate, raise the top dividends tax rate, increase payroll taxes, and bring back the estate tax. According to the Urban Institute-Brookings Institution Tax Policy Center, those proposed tax increases would yield an additional $600 billion in revenue — but only over the next decade. That is not a great deal of new money for a major expansion of health programs (much less for one costing several hundred billion a year) and other initiatives supported by the candidate.
Sen. Obama’s plan will ensure that someone writes a check to cover the high cost of your health care. But that someone will probably be you.