Saturday, March 20, 2010

The innumerate explain common-sense-defying arithmetic

****As the program gets bigger, WFA (waste, fraud & abuse) increases so eliminating WFA saves more and more. OK? ****
Jim Clyburn Explains It All
Then again, if the CBO can't do its job, the Democrats who are leading this effort can certainly try. Blogger Tom Elia notes that in an interview on MSNBC's "The Daily Rundown," Jim Clyburn--the No. 3 House Democrat, behind Steny Pelosi and Nancy Hoyer--explained exactly how ObamaCare is going to save the taxpayer money. Elia has the video, and the exchange starts at 1:30, but we thought it worth transcribing:

Chuck Todd: Can you explain how you get a trillion dollars in deficit reduction? I mean, the CBO didn't make it very clear. Do you feel like you understand how it is this bill somehow reduces the deficit by a trillion dollars in those out years?

Clyburn: I think I do. What we are squeezing out of this system--remember, Medicare is a big part of this. We're extending the life of Medicare by nine years, and if you're taking the waste, fraud and abuse out of this, the savings that you get there will come as things grow. Savings will grow. You look at the community health centers. Savings will grow more in out years than in the first few years. So I believe--well, that's my assessment, and that's the way I'm explaining it to members. I hope I'm right.

Savannah Guthrie: But Congressman, you know, speaking of actually the first 10 years, I think when ordinary Americans look at this and they hear this is a bill that will cost $940 billion but will reduce the deficit $138 billion, they don't understand how those two things go together. Can you just explain how you have to spend almost a trillion dollars to save $138 billion?

Clyburn: Well, because--sure. If you look at, as I said, the kind of savings that you build into the system, what it will save the federal government when you get people into these private insurance plans--the cost-shifting, all of that, out of the system. So if you got 32 million people coming onto insurance plans, that's 32 million people coming out of emergency rooms; that's 32 billion [sic] people that you don't have to pay for in all the cost-shifting that takes place in the system. When my wife had bypass surgery, I looked on her bill. We paid $15 for one aspirin. Then that takes all of that out of the system, and that's how you get that kind of savings, when you multiply that by the number of people that are getting primary care out of emergency rooms, you won't be doing that. That's the kind of stuff.

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