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Monday, March 2, 2009

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Politics may strain health care reform

Edward Miguel

A big portion of President Obama's stimulus package is directed at increasing health coverage for more Americans. But commentator Edward Miguel says the new focus on fixing health care will put stress on Obama's bipartisan pledge.

Edward Miguel, professor of economics at University of California at Berkeley (ceda.berkeley.edu)

More on Commentaries, Health, Politics

TEXT OF COMMENTARY

Kai Ryssdal: President Obama filled another cabinet slot today. At least he hopes so. He picked Kansas Gov. Kathleen Sebelius to run the Department of Health and Human Services. Even though she's going to work for the president, she'll probably be spending most of her time up on Capitol Hill trying to get health reform through Congress. And as we saw with the stimulus package, the battle over health care will probably put bipartisanship to the test.

Commentator and economist Edward Miguel says a little recent history here might be useful.


EDWARD MIGUEL: Republican majorities in Congress passed the largest expansion of federal government health spending in decades with the Medicare Prescription Drug Act of 2003, with strong support from President Bush.

One has to wonder if there are more than economic ideology differences at work on either side. Even Rush Limbaugh said about the stimulus plan: "I don't think it's designed to stimulate anything but the Democrat Party."

Recent economics research suggests Limbaugh may be right on the politics. My co-authors and I found that government programs powerfully impact voters. We studied the South American democracy of Uruguay, where a charismatic, new, center-left president implemented a large anti-poverty program during an economic crisis.

Sound familiar? We compared two groups of households, some who received large income benefits from the government versus others who failed to qualify. And program beneficiaries were 15 percentage points more likely to voice support for the political party implementing the program. Support remained equally high even the year after the program ended.

U.S. history also points to persistent political legacies of big social programs. Millions of Americans who came of age in the Great Depression became loyal Democrats for life, rewarding the party that created the New Deal. President Obama promises a new set of programs, starting with the stimulus and extending into health care and beyond.

And if Obama's reforms work, it's not just the economy that will get a boost. People will recognize the role government played in their ability to secure benefits like health insurance and reward his party at the ballot box later on.

If the recipients of these programs are more likely to move into the Democratic column and stay there, how far might Congressional Republicans go to block reforms that may resurrect the economy and improve lives -- but hurt their re-election prospects? Who knows? But, partisan political concerns may be just as important as economic policy details in determining the success of health care reform in this critical year.

RYSSDAL: Edward Miguel teaches at the University of California, Berkeley. His most recent book is called "Economic Gangsters."

Comments

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  • By S.J. Phred

    03/04/2009

    Funny how this commentator didn't dwell on Karl Rove's seduction of the Christian Right to vote for his client, George W. Bush.

    Or maybe we could discuss Ronald Reagan?
    There was a proposal to end term limits to keep him on while the Alzheimer's was hitting him--shades of Hugo Chavez, dontcha think?

    Come on, folks....please.

    By Sandi Campbell

    From Siler City, NC, 03/03/2009

    So working people are supportive of government programs that help them stay afloat. So? I didn't hear any mention of the numbers of wealthy individuals who voiced approval (and gave big campaign bucks) for Bush's tax cuts that largely benefited them. Capital gains cuts that let your money make more money while you vacation in the Swiss Alps. Sweet. And the Medicare Advantage gift to the insurance industry that costs $175 billion a year, but gives well-heeled seniors a "choice" over basic Medicare. But let's crucify the working stiff who gets a break. Give me one!

    By Mike H

    From San Diego, 03/03/2009

    What kind of utter nonsense is this? The nerve of the people of the United States of America to actually reward a political party for favoring the interests of the people over the interests of business. And for the *New Leader of The GOP* himself to cry "politics". Cry me a river Rush.

    Please recall that the Medicare Prescription Drug Act of 2003 was a large gift to Big Pharma, and a boondoggle for the people it was dubiously intended to help - which is precisely the reason that large groups of seniors haven't thanked the GOP for that bill at the ballot box. I really hope that Republicans see it in their best self-interest to attempt to oppose upcoming health care reform legislation, it will seal their fate for the next few election cycles at least.

    Can we please finally have a meaningful working definition of "bipartisanship" that is more than the minority whining their way to the front of the debate without proposing any substantive ideas?

    By Dan Byrnes

    From Albany, NY, 03/03/2009

    Fire Miguel. I'm sick of hearing the insulting use of the phrase Democrat Party, and I was infuriated to hear it yesterday, even if the spineless coward hid behind attributing it to that slimeball Limbaugh. I enjoy tuning into NPR and not having to worry about the unbalanced wingnuttiness you hear on AM talk radio or the sloppy "how soon can I get to the bar" reporting that passes for new on the other networks. I don't want to deal with insults on NPR. Fire Miguel.

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