Obama's attack on McCain's healthcare plan is that he will make include insurance benefits as taxable income.  This is accurate and effective, but misleading.  The $5,000 dollar transfer will more than make up for these losses.  This policy is a relatively smart way to address moral hazard.  What will end up happening is that poor people will end up consuming more healthcare and rich people will downsize from the cadillac healthcare plan through what is known in microeconomics as a "substitution effect." 

Never fear liberals, there is plenty left to criticize! Including:

-It will actually fracture risk pools instead of pooling risk broadly as he plans to "promote competition" - this will have an upward pressure on price.
-It will not address the market for health, only the market for health insurance.
-Thus it will not address inflated Doctor's salaries, over-specialization, the shortage of general practice Doctors, inflated drug costs.
-It only transfers wealth and deals with moral hazard, it does not address inflated costs.

Thus the plan assumes the only problem with healthcare in the United States is moral hazard, that we consume too much.  The real problem is cost.  We fix costs by fixing the market for healthcare services and promoting broad risk pooling in health insurance.

This just some good ammunition against conservatives who may be on to the fact that Obama's attack doesn't really hold up when you examine the policy.