“To their credit, the pharmaceutical companies have already agreed to put up $80 billion” in pledged cost reductions, Mr. Obama reminded his listeners at a recent town-hall-style meeting in Bristol, Va. But the health insurance companies “need to be held accountable,” he said."
If abiding by a negotiated agreement is caving, we have no hope. How about some honesty in the debate.
Honesty in debate is nice. I thought Obama was hands off and leaving health care reform to be handled by Congress. I thought he was for broadcasting negotiations via C-SPAN. I thought he was against and against non-transparent deals between the administration and lobbyists. Who gave the Obama administration authority to negotiate such a deal? Pelosi has indicated that the House at least was not involved in this deal and are not bound by it.
Typical PUMA, whine because they perceive PRESIDENT OBAMA as not active enough, then moan when they think PRESIDENT OBAMA is to proactive.
LOL. If you think the drug companies promising to
'save us' $80 Billion over 10 years is being "proactive", you deserve to be represented by such back room deals.
My commentary was to the validity of the blog.
What's a PUMA?
PUMA is a splinter group of Democrats opposed to President Obama because Clinton lost in the primaries.
I don't think it dishonest to call an agreement with drug companies "caving." How about "affirms caving?" Either way it stinks.
Their is nothing in the article you link to, that is in anyway representative of your blog. That IS dishonest. If you have views, on this particular subject matter, wouldn't it be better to state those views?
My first interest is that people read the article.
Some of my views--stated many times at TPM:
(1) Obama has reneged on important campaign promises
(2) He has not been an effective leader on health care
(3) He is too willing to compromise with the Right
(4) He started health care too late. He didn't mention the word for months when he first took office.
(5) He is taking the country into a misguided costly and no-end-in-sight war without which we could afford real healthcare.
Picking right up where Bush left off. Just in a new place.
I'm for universal healthcare for Americans. I'm tired of people I know getting sick and dying because they don't have it. I'm tired of people who have health care --including ALL GOVERNMENT PEOPLE- deciding for the rest of us. If they were worried about themselves, their own families, we'd all be covered.
If Obama and Congress had to have the same health insurance that Americans do BY LAW, we'd have it.
I expect to be supporting a Third Party Candidate in 2010 and 2012. Does that help?
Then you should blog about your beliefs, many of which I agree with, you should not distort an article to wrap it around your beliefs. You might start with "Billy Tauzin Is A Pig Wallowing At His Self-Legislated Trough"
You should probably hurry if you want to use my suggested topic, many here at TPM might find, Tauzin is a pig, inspiring.
Your point is taken.
kali, as I see it, the pharmaceutical industry agreed to cut 80 billion from Medicare prescription drug costs over 10 years. Nothing, really, when you consider that the industry generates over 300 billion in US sales and their products barely improve upon themselves, year after year. Most often, they change one molecule in a drug, give it a new name, and market it as the "next advance". It isn't an advance at all. It's a profit protector. It's the old drug which lost patent protection and faced competition from generics. Many times, they'll cut a deal with insurance companies--so you can't get coverage for generics, only the brand name.
It' a scam.
That and the fact that there is overwhelming evidence that pharmaceutical companies, in collusion with medical journals, tend to withhold, or not publish research that shows the lack of efficacy of certain drugs--so only the "good" research, gets published. And it is not even independent research. It is their own research.
There are people that are so much more well versed on all this than I am and I hope they contribute to the comments here.
Granted, at least the pharmaceutical industry agreed to some cost cuts. The insurance industry agreed to none. NONE.
But still, should the White House be cutting deals with such a contemptible fraudulent industry?
One that rides roughshod over the health and well-being of Americans every day?
Isn't cutting a deal with these people like negotiating with terrorists?
I really think it's more like agreeing to an abusive husband's demands while plotting to move as soon as possible. The key to "winning" the health care reform debate is to co-opt the efforts of former foes.
The fact is that despite the hyperbole, Obama and Congressional democrats are going to have to blunt industry interference to get a reform bill passed that begins to fix the system. It is going to take a number of bills over a number of years to fix everything that is wrong.
This was never going to be one-shot deal.
I know, I know. Capitalism has our democracy in a stranglehold and this is an attempt to loosen the grip just a little.
Does the government have so little leverage over industry though? How did it become such the submissive partner?
PACs?
Jason, The question is what the administration is promising to give up. From the article:
"Drug industry lobbyists reacted with alarm this week to a House health care overhaul measure that would allow the government to negotiate drug prices and demand additional rebates from drug manufacturers."
It seems they're giving up the right to negotiate drug prices. IN EXCHANGE FOR MORE GOVERNMENT SUBSIDY. BARGAIN!! What they should do is just cap the current government subsidy (through patent protection, import restrictions, letting the industry determine prices) to the drug industry which now stand at, say, 250 billion. Its not 80 billion in cost-savings, it's a 'promised' minor slowing of the rising state subsidy.
Again, I don't think this is the end game as much as the opening gambit. Obama has his eye on their King, but has to start with the Bishop or Pawn to get the game started.
It even took FDR more than a decade to get the New Deal in place and functioning for sixty, mostly pain-free years. And he was working with a country that pretty much solidly behind him on the left and right.
For me, I believe progress is a game of inches, ground out on the line, rather than Hail Mary passes to the end zone.
Yeah I get that, but this isn't even an inch. It's nothing. It's capitulation. This is an empty pledge which picks a number out of the air and splashes it on the newspaper page so the administration doesn't lose face. So that leaves the public plan as the only serious measure left. And its viability is disappearing fast. So then you're left with a hugely expensive plan on paper to expand coverage. Which is still something. but OH, it won't pass because all responsible fiscal conservatives will kill it. So in the end what is there - some modest expansion of Medicaid...?
I am going to reserve judgment until I see the final bill that comes of out Conference, but I am not quite as sure as you are that getting the pharmaceutical industry to start saying "Yes" to Obama's proposals is a bad thing. To me, that is certainly playing a game of inches.
This was always going to be an uphill battle requiring strategy and tactics that have yet to be devised on the left, much less put into action in any meaningful way. I have a lot of problems with the administration on a number of other fronts, many having to do with how health care reform has progressed so far, but this isn't one of them.
Even largely symbolic "victories" can help move the ball forward if they are properly used to mold public opinion.
It may be that the triumph of the drug companies is most symbolic here.
PS: Sorry for the mixed metaphors. :O)
Wow. So they've gotten the drug dealers to PLEDGE 80 billion in lower costs over 10 years. Cool. I trust them. I hear they even crossed their hearts and swore on our mothers' graves...
Billy Tauzan had a mother? Who would have guessed.
Maybe they should get them to pledge "Under God."
I know that you are good with statistics. Do you have any that compare what the U.S. spends in Iraq and Afghanistan compared with other NATO countries?
Realistically, what the "deal" gave up was the excess over $80 billion in savings that could have been achieved by retaining a drug-negotiation clause in the proposed legislation. I don't know how much that extra savings would have been - perhaps another $50-$100 billion over ten years (after all, even negotiations won't eliminate the most pernicious practices underlying extortionate drug pricing) - but the Administration is making a political calculation.
Without a public option, the ability of reform to achieve savings would be compromised well beyond those figures. That option is under seige, and Obama needs as many allies, and as few enemies, as he can manage to salvage it in some meaningful form. That is the nature of political reality.
I do, however, have to disagree with Obey's contention above that the public option is the only serious reform measure left. In my view, it is a desirable measure, but less important than other insurance reforms that are still retained in the proposed bills. Foremost among these are the requirements for insurers to accept all applicants, avoid highly discriminatory charges based on health status or age, and to offer plans that must always include a package of essential benefits. Achieving those would be a huge advance over what we have now, and that achievement, which is hard for reform opponents to criticize, is very likely to materialize.
I suspect it will also lead to a nonprofit health insurance paradigm as well when these companies (and their boards of directors and investors) discover they can't make much profit without being allowed to kill people.
The Trojan Horse isn't a public option leading to single payer. It is common sense and widely-supported regulations leading us to a system that more closely resembles those in other advanced countries.
The outlier, for me, is any mention of how we will reform the existing government health plans such as Medicare and Medicaid into something that is more sustainable. To me, the only way to do that is to broaden the number of people who are eligible to change the actuarial equations for the covered population.
Is there anything in these reforms about that issue?
I don't think you can trust any of the reforms until you see the fine print and even then we'll need an army of attorneys to fight the attorneys the insurance industry will deploy to drive tanks through the reform language.
One of the reasons I favored single-payer is that you'd have one entity to fight with over your claim. We're still going to be left with "competition", i.e., a fleet of insurance companies generating policies designed to trick the buyer into "choosing" an "affordable" policy with fine print signing away their rights to a decent policy.
Let the litigation begin. We have only begun to fight.
fred, do you mean that the 80 billion savings over 10 years "promised" by big pharma mean that there will be no drug negotiation clause in the final health care bill?
I thought one of the main purposes of the public option was that it would be large enough and influential enough to negotiate better health insurance costs/drug costs for consumers.
You're saying we dropped that, for THIS?
My god, who does government represent in all this? And if it's not the people, and I'm really beginning to think that in the grand scheme of things, even in the small scheme of things, it's not, then we need to create some form of representative government where people like you and me are represented.
You know, something like a democracy.
America might want to look into something like that.
Can someone please explain to me why all of sudden the outrage. Obama talked about this way back in June. Could it be that the NYT article was phrased to be a tad misleading?
I think many people are taking an honest look at the whole package that seems to be emerging. In that context, the drug company deal takes on another light. Especially without a public option. How do you feel about it?
Since there is no real bill to think about. And since the public option is still on the table. So I am not going to go yellin the sky is falling. This does not mean I am sitting on my hands either. I have contacted all my reps telling them no public option is not healthcare reform. I'm lucky most of my reps are for it.
I think the timing of this news is interesting. I remember hearing about this a few months ago.
Corporations and their lobbyists can play with the news like this because corporations and lobbyists create the news.
I think they have no business being in the news business but I'll confine my infinite hatred for the whole unfair free wheeling law-breaking profit taking system-- to which every industry including the media is party to--to the boundaries of the pharmaceutical companies for the purposes of this post.
I will accept that focus here, because it is with the pharmaceutical companies (okay, the health insurance companies too) that we can most plainly see how an overgrown overbearing unrestricted industry-- with the help of the government as an accomplice--simply cannot be trusted to act within guidelines that help promote the general welfare of the citizenry. Instead, it is currently designed to kick that citizenry's teeth in.
and it is to that point that I believe incremental progress in this area will be negligible.
I think a giant leap has to be made. Someone, some political party, some movement, some entity has to rise up, specifically when he or she or it has that ever elusive majority at hand, and take a mean swipe at the rabid profit animals, on behalf of the families, the generations and generations of Americans those animals would otherwise literally kill in bulk just to make a fast buck.
Obama has said that if he could start something from scratch, he would support single payer, or some form of single payer.
Well guess what. Tomorrow, hundreds of thousands of Americans who are drop-kicked from the rolls of insurance companies for no good reason whatsoever will have to start their lives from scratch.
Somehow they will have to start at the beginning and try and figure out a way to protect their family. Figure out a way to keep someone in their family from dying without the benefit of chemotherapy or insulin or even the preventive benefit of a routine annual physical.
I put this on your blog as well, but cross posting:
Hailed by President Barack Obama, a multi-billion-dollar promise by drug companies to narrow a Medicare drug coverage gap for seniors is valid only if Congress succeeds in passing a comprehensive health care bill encountering strong opposition from Republicans, an industry spokesman said Monday.
When did Obama get authorization from the House to say that Pharma would only be on the hook for a max of $80 billion (chump change in the long haul, and only if the bill passes)? He didn't according to Pelosi. Pelosi denied she was bound by the back room deal. The reason this is a big story now is whereas in June the industry spokesperson was saying the deal was only good if passed by Congress, now they are claiming with the White House support that a deal is a deal and no healthcare reform bill can exceed the maximum agreed to by the president.
I thought the agreement was BS in June. Now? He is standing up to protect the Pharma deal yet he will not make clear that he won't sign a bill without a REAL public option. I never bought into the whole challenging the special interests PR from the campaign, but I seriously never thought Obama would be this blatantly diametrically opposed to the principles he ran on.
Not to mention Obama himself in July 2009 (after this so called firm deal was set in stone) was still publicly talking about seeking more cost cuts from Pharam specifically. Overlooked question from his press conference, he responded we may be able to get $100 billion from them or more.
So yeah, today's NYT story is a step forward in the debate in a very bad direction.
thanks dijamo, that's good homework.
The White House is caving on everything. I'm fed up with it.
Last night, I attended a meeting to plan strategy for promoting healthcare reform during the coming contentious weeks. Many other attendees participated enthusiastically, but I was disheartened by the presence of many others who said they would go along, but were disillusioned by Obama's failure to preserve the most valuable features of reform legislation.
Here, I will state my view of this, but less tactfully than I did last night, because most people here know we want to be candid with each other, and also that my view is just one of many.
What I tried to tell them last night was that their disillusionment was the product of ignorance. There are many elements of healthcare reform that proposed bills hardly touch on - reform of fee for service, comparative or evidence-based medicine, etc. - but that has been true from the beginning, and will have to proceed on a more gradual pace once a strong reform package is implemented.
Of the features of the proposed bill, a public opion (or non-profit cooperatives as an alternative) is being debated. Something - probably less than ideal - will probably pass, but in my view, this is far less critical than what remains in the legislation. The truly remarkable aspect of what remains is a transformation of how insurance is practiced. No longer will insurers make profits through cherry picking only healthy subscribers. They will now have to accept all comers. They will no longer be able to charge discriminatory rates on the basis of health status or medical history. They will no longer to be able to put a cap on annual or lifetime coverage. They will no longer be able to engage in policy recissions in the absence of proven fraud.
It is the above offenses, which will now be forbidden, that are the poisonous aspects of current health insurance. I believe Obama, in keeping his focus on what is most important, while still pushing for other valuable items such as a public option, is destined to be celebrated for one of the more remarkable achievements recorded for any president in the first year of his term of office.
I truly hope he receives all the support he needs and which he deserves, and with unrestrained enthusiasm. I realize others are disappointed in one or another element of current events, but I hope they will keep their disappointment in perspective in light of the major accomplishments that await, unless we forfeit the opportunity.
regarding not denying someone health insurance due to a pre-existing condition. I hope that's not just one way of saying participation is mandatory. Is it? Is it a version of that, Fred? What about not denying someone specific treatment due to a pre-existing condition. I mean you can guarantee generic health insurance, but what about guaranteeing that someone anyone will get coverage for treatments they desperately need? As a health insurance company, I can say I guarantee you will pay us monthly premiums but I won't guarantee we will, in turn, pay claims for specific treatments you may desperately need. See what I'm saying?
Yes, mandatory coverage for most Americans is a necessary ingredient of effective healthcare, as all other societies with better systems than ours have long recognized. It prevents "cherry picking" that leaves the sickest individuals without insurance. The proposed legislation requires coverage for a set of essential servces that insurers are not permitted to deny. It's a remarkable piece of legislation, in my view. I've read large sections of HR 3200, although obviously only skimming in many parts of this bill of more than one thousand pages. I don't know what the final Senate bill will look like, but if it's similar to HR 3200, we should all be gratified.
Before we discuss what's in a bill that hasn't been finalized yet, maybe we need to discuss about previous efforts. Anyone remember the Kennedy-Kassebaum bill of 1996? That bill, passed with bipartisan support was supposed to allow people with pre-existing conditions to get Health Insurance - but it set no limit on what the insurance companies could charge for such insurance, thereby making it worthless. Today, nobody even remembers Kennedy-Kassebaum or what it was supposed to do, that's how little effect it had.
Now it sounds like HR 3200 might be an improvement over Kennedy-Kassebaum in that some limits are being set, but insurance portability is the key (and I'll agree with you that what's left of the public option after the watering down that's been done to it may not be as big a deal as some are making of it) then the devil is in the details.
1. Can you explain HOW HR3200 improves on K-K?
2. What, in minute detail, do we have to watch for as the Senate weakens HR3200 in regard to preexisting condition non-discrimination?
In other words, I'm saying, platitudes about preexisting conditions mean little given the history of sham improvements in the past. But if we need to focus on details, and I think we do, these are the details we need to focus on.
I also don't think Obama should tout this as any great victory. It must be thought of as the beginning battle, not the end. He should take a lesson from union leaders who, after a long strike in which modest gains are made but the union holds together, know take pride in their accomplishment while also laying out before the people what else remains to be done that they couldn't accomplish this time.
There is total portability in HR3200 - initially only for those individuals who aren't grandfathered into their existing insurance policies, but eventually (after 5 years) for everyone. Once an individual becomes eligible, he or she can choose among a multitude of plans; all must offer essential services, and none can deny the applicant coverage nor charge discriminatory rates. In other words, someone who changes jobs or whose employer drops current coverage will have a wide array of choice, and no insurer will be able to turn him or her down.
The Senate is still working on its versions. The HELP Committee version resembles HR 3200. The Finance Committe version is unfinished, but I'm reasonably confident that any "watering down" will be in other areas than the above, mainly because those provisions will be very popular with the public and hard for critics to oppose.
Thanks for the info, Fred.
If that is in the final bill it will be a good thing.
Would you agree that the main thing we'd be giving up with a non-single-payer non-public-option plan is a lot of cost containment?
That is why if this is the bill, Obama must not claim it as a total victory. "We have some great provisions that keep people from losing their insurance if they lose their jobs or their company drops it - but we're still paying twice as much as other countries for the same health care results. That is still going to need to change, but we can only cross so many bridges at a time."
I want to start off by saying that your posts exhibit passion as it relates to this particular issue. I also want to offer that you certainly inspire focused discussions on healthcare on a regular basis.
With that being said, I would like to ask if you have any other issues that are of importance to you? I recall your posts, beginning in February 2009, arguing how many people were dying per day under the Obama administration due to lack of healthcare. I also recall you briefly broaching the subject of how many people were dying in Iraq and Afghanistan under the Obama adminsistration.
Additionally, I'm just curious, has the Obama Administration done anything policy-wise that has found favor with you? Has anyone else, more specifically, members of congress? I'm certainly not inquiring as to blind allegiance here, but I'm generally skeptical of folks of either political stripe who are so persistant in sounding off about what's going wrong, but never care to engage in a discussion about what's going right.
It's really gotten predictable to the point where I don't even need to click on the linked title of to get the take away of your posts--Obama(+)sellout(+)corporate shill(+)bigpharma appeaser(-)thou shalt not get "true" health care but before Kali Star's puritanical views(=)we're all gonna die yesterday. THE END.
No. I have no other interests in life. The world is dull and dark save my concern for healthcare. What went wrong? Gee. I don't know. Just a stupid girl, I guess.
WHEN DOES AFFIRM = CAVES
These are from your article;
"White House Affirms Deal on Drug Cost"
“To their credit, the pharmaceutical companies have already agreed to put up $80 billion” in pledged cost reductions, Mr. Obama reminded his listeners at a recent town-hall-style meeting in Bristol, Va. But the health insurance companies “need to be held accountable,” he said."
If abiding by a negotiated agreement is caving, we have no hope. How about some honesty in the debate.
August 6, 2009 11:12 AM | Reply | Permalink
Honesty in debate is nice. I thought Obama was hands off and leaving health care reform to be handled by Congress. I thought he was for broadcasting negotiations via C-SPAN. I thought he was against and against non-transparent deals between the administration and lobbyists. Who gave the Obama administration authority to negotiate such a deal? Pelosi has indicated that the House at least was not involved in this deal and are not bound by it.
August 6, 2009 11:33 AM | Reply | Permalink
Typical PUMA, whine because they perceive PRESIDENT OBAMA as not active enough, then moan when they think PRESIDENT OBAMA is to proactive.
August 6, 2009 11:40 AM | Reply | Permalink
LOL. If you think the drug companies promising to
'save us' $80 Billion over 10 years is being "proactive", you deserve to be represented by such back room deals.
August 6, 2009 12:17 PM | Reply | Permalink
My commentary was to the validity of the blog.
August 6, 2009 12:21 PM | Reply | Permalink
What's a PUMA?
August 6, 2009 12:36 PM | Reply | Permalink
PUMA is a splinter group of Democrats opposed to President Obama because Clinton lost in the primaries.
http://pumaparty.com/
August 6, 2009 1:15 PM | Reply | Permalink
Party Unity My Ass PUMA
August 6, 2009 5:09 PM | Reply | Permalink
,,!,,
August 6, 2009 6:12 PM | Reply | Permalink
stay classy, puma
August 7, 2009 8:13 AM | Reply | Permalink
I don't think it dishonest to call an agreement with drug companies "caving." How about "affirms caving?" Either way it stinks.
August 6, 2009 11:42 AM | Reply | Permalink
Their is nothing in the article you link to, that is in anyway representative of your blog. That IS dishonest. If you have views, on this particular subject matter, wouldn't it be better to state those views?
August 6, 2009 12:10 PM | Reply | Permalink
My first interest is that people read the article.
Some of my views--stated many times at TPM:
(1) Obama has reneged on important campaign promises
(2) He has not been an effective leader on health care
(3) He is too willing to compromise with the Right
(4) He started health care too late. He didn't mention the word for months when he first took office.
(5) He is taking the country into a misguided costly and no-end-in-sight war without which we could afford real healthcare.
Picking right up where Bush left off. Just in a new place.
I'm for universal healthcare for Americans. I'm tired of people I know getting sick and dying because they don't have it. I'm tired of people who have health care --including ALL GOVERNMENT PEOPLE- deciding for the rest of us. If they were worried about themselves, their own families, we'd all be covered.
If Obama and Congress had to have the same health insurance that Americans do BY LAW, we'd have it.
I expect to be supporting a Third Party Candidate in 2010 and 2012. Does that help?
August 6, 2009 12:30 PM | Reply | Permalink
Then you should blog about your beliefs, many of which I agree with, you should not distort an article to wrap it around your beliefs. You might start with "Billy Tauzin Is A Pig Wallowing At His Self-Legislated Trough"
You should probably hurry if you want to use my suggested topic, many here at TPM might find, Tauzin is a pig, inspiring.
August 6, 2009 1:10 PM | Reply | Permalink
Your point is taken.
August 6, 2009 1:13 PM | Reply | Permalink
kali, as I see it, the pharmaceutical industry agreed to cut 80 billion from Medicare prescription drug costs over 10 years. Nothing, really, when you consider that the industry generates over 300 billion in US sales and their products barely improve upon themselves, year after year. Most often, they change one molecule in a drug, give it a new name, and market it as the "next advance". It isn't an advance at all. It's a profit protector. It's the old drug which lost patent protection and faced competition from generics. Many times, they'll cut a deal with insurance companies--so you can't get coverage for generics, only the brand name.
It' a scam.
That and the fact that there is overwhelming evidence that pharmaceutical companies, in collusion with medical journals, tend to withhold, or not publish research that shows the lack of efficacy of certain drugs--so only the "good" research, gets published. And it is not even independent research. It is their own research.
There are people that are so much more well versed on all this than I am and I hope they contribute to the comments here.
Granted, at least the pharmaceutical industry agreed to some cost cuts. The insurance industry agreed to none. NONE.
But still, should the White House be cutting deals with such a contemptible fraudulent industry?
One that rides roughshod over the health and well-being of Americans every day?
Isn't cutting a deal with these people like negotiating with terrorists?
August 6, 2009 11:29 AM | Reply | Permalink
I really think it's more like agreeing to an abusive husband's demands while plotting to move as soon as possible. The key to "winning" the health care reform debate is to co-opt the efforts of former foes.
The fact is that despite the hyperbole, Obama and Congressional democrats are going to have to blunt industry interference to get a reform bill passed that begins to fix the system. It is going to take a number of bills over a number of years to fix everything that is wrong.
This was never going to be one-shot deal.
August 6, 2009 11:41 AM | Reply | Permalink
I know, I know. Capitalism has our democracy in a stranglehold and this is an attempt to loosen the grip just a little.
Does the government have so little leverage over industry though? How did it become such the submissive partner?
August 6, 2009 11:51 AM | Reply | Permalink
PACs?
August 6, 2009 11:59 AM | Reply | Permalink
Jason, The question is what the administration is promising to give up. From the article:
"Drug industry lobbyists reacted with alarm this week to a House health care overhaul measure that would allow the government to negotiate drug prices and demand additional rebates from drug manufacturers."
It seems they're giving up the right to negotiate drug prices. IN EXCHANGE FOR MORE GOVERNMENT SUBSIDY. BARGAIN!! What they should do is just cap the current government subsidy (through patent protection, import restrictions, letting the industry determine prices) to the drug industry which now stand at, say, 250 billion. Its not 80 billion in cost-savings, it's a 'promised' minor slowing of the rising state subsidy.
August 6, 2009 11:57 AM | Reply | Permalink
Again, I don't think this is the end game as much as the opening gambit. Obama has his eye on their King, but has to start with the Bishop or Pawn to get the game started.
It even took FDR more than a decade to get the New Deal in place and functioning for sixty, mostly pain-free years. And he was working with a country that pretty much solidly behind him on the left and right.
For me, I believe progress is a game of inches, ground out on the line, rather than Hail Mary passes to the end zone.
August 6, 2009 12:02 PM | Reply | Permalink
Yeah I get that, but this isn't even an inch. It's nothing. It's capitulation. This is an empty pledge which picks a number out of the air and splashes it on the newspaper page so the administration doesn't lose face. So that leaves the public plan as the only serious measure left. And its viability is disappearing fast. So then you're left with a hugely expensive plan on paper to expand coverage. Which is still something. but OH, it won't pass because all responsible fiscal conservatives will kill it. So in the end what is there - some modest expansion of Medicaid...?
August 6, 2009 12:21 PM | Reply | Permalink
I am going to reserve judgment until I see the final bill that comes of out Conference, but I am not quite as sure as you are that getting the pharmaceutical industry to start saying "Yes" to Obama's proposals is a bad thing. To me, that is certainly playing a game of inches.
This was always going to be an uphill battle requiring strategy and tactics that have yet to be devised on the left, much less put into action in any meaningful way. I have a lot of problems with the administration on a number of other fronts, many having to do with how health care reform has progressed so far, but this isn't one of them.
Even largely symbolic "victories" can help move the ball forward if they are properly used to mold public opinion.
August 6, 2009 12:40 PM | Reply | Permalink
It may be that the triumph of the drug companies is most symbolic here.
August 6, 2009 3:19 PM | Reply | Permalink
PS: Sorry for the mixed metaphors. :O)
August 6, 2009 12:03 PM | Reply | Permalink
Wow. So they've gotten the drug dealers to PLEDGE 80 billion in lower costs over 10 years. Cool. I trust them. I hear they even crossed their hearts and swore on our mothers' graves...
August 6, 2009 11:43 AM | Reply | Permalink
Billy Tauzan had a mother? Who would have guessed.
August 6, 2009 12:25 PM | Reply | Permalink
Maybe they should get them to pledge "Under God."
August 6, 2009 1:05 PM | Reply | Permalink
I know that you are good with statistics. Do you have any that compare what the U.S. spends in Iraq and Afghanistan compared with other NATO countries?
August 6, 2009 3:17 PM | Reply | Permalink
Realistically, what the "deal" gave up was the excess over $80 billion in savings that could have been achieved by retaining a drug-negotiation clause in the proposed legislation. I don't know how much that extra savings would have been - perhaps another $50-$100 billion over ten years (after all, even negotiations won't eliminate the most pernicious practices underlying extortionate drug pricing) - but the Administration is making a political calculation.
Without a public option, the ability of reform to achieve savings would be compromised well beyond those figures. That option is under seige, and Obama needs as many allies, and as few enemies, as he can manage to salvage it in some meaningful form. That is the nature of political reality.
I do, however, have to disagree with Obey's contention above that the public option is the only serious reform measure left. In my view, it is a desirable measure, but less important than other insurance reforms that are still retained in the proposed bills. Foremost among these are the requirements for insurers to accept all applicants, avoid highly discriminatory charges based on health status or age, and to offer plans that must always include a package of essential benefits. Achieving those would be a huge advance over what we have now, and that achievement, which is hard for reform opponents to criticize, is very likely to materialize.
August 6, 2009 1:14 PM | Reply | Permalink
I suspect it will also lead to a nonprofit health insurance paradigm as well when these companies (and their boards of directors and investors) discover they can't make much profit without being allowed to kill people.
The Trojan Horse isn't a public option leading to single payer. It is common sense and widely-supported regulations leading us to a system that more closely resembles those in other advanced countries.
The outlier, for me, is any mention of how we will reform the existing government health plans such as Medicare and Medicaid into something that is more sustainable. To me, the only way to do that is to broaden the number of people who are eligible to change the actuarial equations for the covered population.
Is there anything in these reforms about that issue?
August 6, 2009 1:25 PM | Reply | Permalink
I don't think you can trust any of the reforms until you see the fine print and even then we'll need an army of attorneys to fight the attorneys the insurance industry will deploy to drive tanks through the reform language.
One of the reasons I favored single-payer is that you'd have one entity to fight with over your claim. We're still going to be left with "competition", i.e., a fleet of insurance companies generating policies designed to trick the buyer into "choosing" an "affordable" policy with fine print signing away their rights to a decent policy.
Let the litigation begin. We have only begun to fight.
August 6, 2009 6:11 PM | Reply | Permalink
fred, do you mean that the 80 billion savings over 10 years "promised" by big pharma mean that there will be no drug negotiation clause in the final health care bill?
I thought one of the main purposes of the public option was that it would be large enough and influential enough to negotiate better health insurance costs/drug costs for consumers.
You're saying we dropped that, for THIS?
My god, who does government represent in all this? And if it's not the people, and I'm really beginning to think that in the grand scheme of things, even in the small scheme of things, it's not, then we need to create some form of representative government where people like you and me are represented.
You know, something like a democracy.
America might want to look into something like that.
August 6, 2009 6:12 PM | Reply | Permalink
Can someone please explain to me why all of sudden the outrage. Obama talked about this way back in June. Could it be that the NYT article was phrased to be a tad misleading?
MSNBC
August 6, 2009 2:25 PM | Reply | Permalink
I think many people are taking an honest look at the whole package that seems to be emerging. In that context, the drug company deal takes on another light. Especially without a public option. How do you feel about it?
August 6, 2009 2:52 PM | Reply | Permalink
Since there is no real bill to think about. And since the public option is still on the table. So I am not going to go yellin the sky is falling. This does not mean I am sitting on my hands either. I have contacted all my reps telling them no public option is not healthcare reform. I'm lucky most of my reps are for it.
August 6, 2009 5:43 PM | Reply | Permalink
I think the timing of this news is interesting. I remember hearing about this a few months ago.
Corporations and their lobbyists can play with the news like this because corporations and lobbyists create the news.
I think they have no business being in the news business but I'll confine my infinite hatred for the whole unfair free wheeling law-breaking profit taking system-- to which every industry including the media is party to--to the boundaries of the pharmaceutical companies for the purposes of this post.
I will accept that focus here, because it is with the pharmaceutical companies (okay, the health insurance companies too) that we can most plainly see how an overgrown overbearing unrestricted industry-- with the help of the government as an accomplice--simply cannot be trusted to act within guidelines that help promote the general welfare of the citizenry. Instead, it is currently designed to kick that citizenry's teeth in.
August 6, 2009 4:13 PM | Reply | Permalink
and it is to that point that I believe incremental progress in this area will be negligible.
I think a giant leap has to be made. Someone, some political party, some movement, some entity has to rise up, specifically when he or she or it has that ever elusive majority at hand, and take a mean swipe at the rabid profit animals, on behalf of the families, the generations and generations of Americans those animals would otherwise literally kill in bulk just to make a fast buck.
Obama has said that if he could start something from scratch, he would support single payer, or some form of single payer.
Well guess what. Tomorrow, hundreds of thousands of Americans who are drop-kicked from the rolls of insurance companies for no good reason whatsoever will have to start their lives from scratch.
Somehow they will have to start at the beginning and try and figure out a way to protect their family. Figure out a way to keep someone in their family from dying without the benefit of chemotherapy or insulin or even the preventive benefit of a routine annual physical.
August 6, 2009 4:42 PM | Reply | Permalink
I put this on your blog as well, but cross posting:
When did Obama get authorization from the House to say that Pharma would only be on the hook for a max of $80 billion (chump change in the long haul, and only if the bill passes)? He didn't according to Pelosi. Pelosi denied she was bound by the back room deal. The reason this is a big story now is whereas in June the industry spokesperson was saying the deal was only good if passed by Congress, now they are claiming with the White House support that a deal is a deal and no healthcare reform bill can exceed the maximum agreed to by the president.
I thought the agreement was BS in June. Now? He is standing up to protect the Pharma deal yet he will not make clear that he won't sign a bill without a REAL public option. I never bought into the whole challenging the special interests PR from the campaign, but I seriously never thought Obama would be this blatantly diametrically opposed to the principles he ran on.
http://www.huffingtonpost.com/james-love/the-white-house-deal-with_b_252696.html
Not to mention Obama himself in July 2009 (after this so called firm deal was set in stone) was still publicly talking about seeking more cost cuts from Pharam specifically. Overlooked question from his press conference, he responded we may be able to get $100 billion from them or more.
http://www.nytimes.com/2009/07/23/business/23pharma.html
So yeah, today's NYT story is a step forward in the debate in a very bad direction.
August 6, 2009 6:21 PM | Reply | Permalink
thanks dijamo, that's good homework.
August 6, 2009 6:32 PM | Reply | Permalink
The White House is caving on everything. I'm fed up with it.
August 6, 2009 3:07 PM | Reply | Permalink
Last night, I attended a meeting to plan strategy for promoting healthcare reform during the coming contentious weeks. Many other attendees participated enthusiastically, but I was disheartened by the presence of many others who said they would go along, but were disillusioned by Obama's failure to preserve the most valuable features of reform legislation.
Here, I will state my view of this, but less tactfully than I did last night, because most people here know we want to be candid with each other, and also that my view is just one of many.
What I tried to tell them last night was that their disillusionment was the product of ignorance. There are many elements of healthcare reform that proposed bills hardly touch on - reform of fee for service, comparative or evidence-based medicine, etc. - but that has been true from the beginning, and will have to proceed on a more gradual pace once a strong reform package is implemented.
Of the features of the proposed bill, a public opion (or non-profit cooperatives as an alternative) is being debated. Something - probably less than ideal - will probably pass, but in my view, this is far less critical than what remains in the legislation. The truly remarkable aspect of what remains is a transformation of how insurance is practiced. No longer will insurers make profits through cherry picking only healthy subscribers. They will now have to accept all comers. They will no longer be able to charge discriminatory rates on the basis of health status or medical history. They will no longer to be able to put a cap on annual or lifetime coverage. They will no longer be able to engage in policy recissions in the absence of proven fraud.
It is the above offenses, which will now be forbidden, that are the poisonous aspects of current health insurance. I believe Obama, in keeping his focus on what is most important, while still pushing for other valuable items such as a public option, is destined to be celebrated for one of the more remarkable achievements recorded for any president in the first year of his term of office.
I truly hope he receives all the support he needs and which he deserves, and with unrestrained enthusiasm. I realize others are disappointed in one or another element of current events, but I hope they will keep their disappointment in perspective in light of the major accomplishments that await, unless we forfeit the opportunity.
August 6, 2009 4:50 PM | Reply | Permalink
regarding not denying someone health insurance due to a pre-existing condition. I hope that's not just one way of saying participation is mandatory. Is it? Is it a version of that, Fred? What about not denying someone specific treatment due to a pre-existing condition. I mean you can guarantee generic health insurance, but what about guaranteeing that someone anyone will get coverage for treatments they desperately need? As a health insurance company, I can say I guarantee you will pay us monthly premiums but I won't guarantee we will, in turn, pay claims for specific treatments you may desperately need. See what I'm saying?
August 6, 2009 5:02 PM | Reply | Permalink
Yes, mandatory coverage for most Americans is a necessary ingredient of effective healthcare, as all other societies with better systems than ours have long recognized. It prevents "cherry picking" that leaves the sickest individuals without insurance. The proposed legislation requires coverage for a set of essential servces that insurers are not permitted to deny. It's a remarkable piece of legislation, in my view. I've read large sections of HR 3200, although obviously only skimming in many parts of this bill of more than one thousand pages. I don't know what the final Senate bill will look like, but if it's similar to HR 3200, we should all be gratified.
August 6, 2009 5:12 PM | Reply | Permalink
Before we discuss what's in a bill that hasn't been finalized yet, maybe we need to discuss about previous efforts. Anyone remember the Kennedy-Kassebaum bill of 1996? That bill, passed with bipartisan support was supposed to allow people with pre-existing conditions to get Health Insurance - but it set no limit on what the insurance companies could charge for such insurance, thereby making it worthless. Today, nobody even remembers Kennedy-Kassebaum or what it was supposed to do, that's how little effect it had.
Now it sounds like HR 3200 might be an improvement over Kennedy-Kassebaum in that some limits are being set, but insurance portability is the key (and I'll agree with you that what's left of the public option after the watering down that's been done to it may not be as big a deal as some are making of it) then the devil is in the details.
1. Can you explain HOW HR3200 improves on K-K?
2. What, in minute detail, do we have to watch for as the Senate weakens HR3200 in regard to preexisting condition non-discrimination?
In other words, I'm saying, platitudes about preexisting conditions mean little given the history of sham improvements in the past. But if we need to focus on details, and I think we do, these are the details we need to focus on.
I also don't think Obama should tout this as any great victory. It must be thought of as the beginning battle, not the end. He should take a lesson from union leaders who, after a long strike in which modest gains are made but the union holds together, know take pride in their accomplishment while also laying out before the people what else remains to be done that they couldn't accomplish this time.
August 6, 2009 10:41 PM | Reply | Permalink
There is total portability in HR3200 - initially only for those individuals who aren't grandfathered into their existing insurance policies, but eventually (after 5 years) for everyone. Once an individual becomes eligible, he or she can choose among a multitude of plans; all must offer essential services, and none can deny the applicant coverage nor charge discriminatory rates. In other words, someone who changes jobs or whose employer drops current coverage will have a wide array of choice, and no insurer will be able to turn him or her down.
The Senate is still working on its versions. The HELP Committee version resembles HR 3200. The Finance Committe version is unfinished, but I'm reasonably confident that any "watering down" will be in other areas than the above, mainly because those provisions will be very popular with the public and hard for critics to oppose.
August 6, 2009 11:28 PM | Reply | Permalink
Thanks for the info, Fred.
If that is in the final bill it will be a good thing.
Would you agree that the main thing we'd be giving up with a non-single-payer non-public-option plan is a lot of cost containment?
That is why if this is the bill, Obama must not claim it as a total victory. "We have some great provisions that keep people from losing their insurance if they lose their jobs or their company drops it - but we're still paying twice as much as other countries for the same health care results. That is still going to need to change, but we can only cross so many bridges at a time."
August 7, 2009 6:44 AM | Reply | Permalink
I want to start off by saying that your posts exhibit passion as it relates to this particular issue. I also want to offer that you certainly inspire focused discussions on healthcare on a regular basis.
With that being said, I would like to ask if you have any other issues that are of importance to you? I recall your posts, beginning in February 2009, arguing how many people were dying per day under the Obama administration due to lack of healthcare. I also recall you briefly broaching the subject of how many people were dying in Iraq and Afghanistan under the Obama adminsistration.
Additionally, I'm just curious, has the Obama Administration done anything policy-wise that has found favor with you? Has anyone else, more specifically, members of congress? I'm certainly not inquiring as to blind allegiance here, but I'm generally skeptical of folks of either political stripe who are so persistant in sounding off about what's going wrong, but never care to engage in a discussion about what's going right.
It's really gotten predictable to the point where I don't even need to click on the linked title of to get the take away of your posts--Obama(+)sellout(+)corporate shill(+)bigpharma appeaser(-)thou shalt not get "true" health care but before Kali Star's puritanical views(=)we're all gonna die yesterday. THE END.
August 6, 2009 9:54 PM | Reply | Permalink
No. I have no other interests in life. The world is dull and dark save my concern for healthcare. What went wrong? Gee. I don't know. Just a stupid girl, I guess.
August 6, 2009 10:11 PM | Reply | Permalink