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Larry Kudlow on Health Care

 

 


Economics of ObamaCare worse than constitutional mistakes

The judicial decision to uphold all of the president's health care subsidies may be very disappointing, but the economics of ObamaCare are far worse than whatever constitutional mistakes have been committed by the Supreme Court.

ObamaCare inflicts broad damage on job creation and new business formation. And across-the-board ObamaCare tax increases are inflicting heavy punishment on investment--right when the US economy desperately needs more capital as a way of solving a steep productivity decline

Because of ObamaCare, there's an additional 0.9% Medicare tax on salaries and self-employment income, a 3.8% tax increase on capital gains and dividends, a cap on health care flexible spending accounts, a higher threshold for itemized medical expense deductions, and a stiff penalty on employer reimbursements for individual employee health policy premiums. Each of these tax hikes is anti-growth and anti-job.

Source: Townhall column, "Worse than the Supremes", by L. Kudlow , Jun 27, 2015

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