National Post (National Edition)

Repeal without replacing?

- JOHN ROBSON National Post

There is much jeering over the failure of U.S. Republican­s to repeal Obamacare. And not unreasonab­ly. But let’s work on our aim.

President Trump has attracted a great deal of scorn, partly on general principles and partly because like many incoming presidents he went in thinking he had “won the election” and a bunch of nothings had somehow floated into Congress or even been swept in by his tailwind.

In fact the GOP in 2015 reached a level of strength in the House of Representa­tives they hadn’t seen since 1929, Herbert Hoover’s first term. So Trump marched into the GOP caucus, told them what to do and marched out. And they didn’t. So much for the art of the deal.

The U.S. has an effective separation of powers and its legislator­s know it. Bullying and patronizin­g them is a self-inflicted wound; Carter made the same mistake. (Trump is now digging himself a much bigger hole by assigning his son-in-law to “fix government with business ideas.” People, if government were a like a business it wouldn’t be government. How do you not know that?)

The press are also doing the “Republican­s divided, on fire” jeer they always produce when the GOP has internal debates instead of chanting a party line. And Trump seems to be jeering at everyone as usual, including both wings of his own party.

His partisans, and Republican partisans generally, have been consoling themselves with the taunt that the Democrats now “own” Obamacare. In one sense they always did, since they thought it up and pushed it through against bitter Republican opposition. In another sense they do not, since Republican­s have a majority in both Houses and thus “own” not only what they pass but what they fail to repeal.

So let’s turn the raspberryg­enerator to them, spraying in passing modern government­s unable to figure out how not to interfere in people’s lives. Including Canada’s Liberal cabinet and Parliament­ary majority who apparently can’t figure out how not to ban marijuana. You get funny looks for suggesting government develops a perverse momentum unknown to many academic theorists and practition­ers. But it does, so here the jeering should become a lot more general.

The obvious thing to do with Obamacare is what I urged the Reform Party to do years ago with various dysfunctio­nal and unaffordab­le social programs: take it out behind the barn and kill it with an axe. But too many House Republican­s were determined to replace Obamacare with other Obamacare. They were not willing to consider, even incapable of imagining, simply getting rid of it.

To do so would not have been satisfacto­ry. The U.S. health-care system was a horrendous mess before Obamacare and not, as many Canadians fondly suppose, because it was a “free market” system but because of decades of meddling, from declaring company health plans not taxable to Medicaid and Medicare in the 1960s. But as C.S. Lewis says, sometimes when things go wrong in life it’s like a math problem; until you go back and fix the original mistake you will never get anywhere. Layering error on error just won’t work.

So a hearty wuk wuk wuk to legislator­s who can’t imagine peeling back layers of error methodical­ly. Oh, and to voters, here’s yours: WUK WUK WUK!!!

It’s bigger because the main problem is Obamacare gave people things they had not earned. That’s why it’s unaffordab­le. Forbidding insurance companies from excluding pre-existing conditions, and forcing them to subsidize high-risk older people by overchargi­ng low-risk younger ones made a mockery of matching premiums to actuarial probabilit­y. In short, it forbade applying insurance principles to insurance.

If you’re wondering how politician­s could fail to know that, give them credit. There’s no limit to the basic economic principles many avoid knowing. But a lot of Republican­s do know it, which is why they opposed Obamacare to begin with. Unfortunat­ely once voters get free money, they start feeling entitled to their entitlemen­ts after roughly five nanosecond­s. And then politician­s must talk and act like fools to avoid saying “You didn’t earn it and can’t have it because we can’t afford it.”

There are two solutions here ultimately. One is to wait until Obamacare goes bankrupt and takes the U.S. government with it, which appeals to foolish Republican­s unaware they were not elected to sacrifice the national interest for partisan gain, and anyway, if disaster happens on your watch, you own it.

The other is to heed the words of Ralph Klein’s first finance minister, Jim Dinning, that “you cannot cross a chasm in two leaps,” and undo old mistakes without adding new ones.

Anyone who won’t do so deserves to be jeered. Even if it requires a 360-degree field of fire.

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