Friday, October 21, 2011

ObamaCare destroying Jobs?

Not only are HSA's a big issue with ObamaCare, the threat of unemployment is also evident. When ObamaCare was introduced, Nancy Pelosi  declared there was an, “anvil” around businesses because of the cost of health care and that the bill was, "about jobs" (gop.gov). Pelosi even predicted that it would, “create 400,000 jobs almost immediately.”  However, the effect is opposite. 

On February 11, 2011  Douglas Elmendorf reiterated his statement that the exact opposite is the case.  ObamaCare will destroy around 800,000 jobs.  One reason why the plan will destroy jobs is that in
"Section 1411: increases the Medicare Hospital Insurance (HI) portion of the payroll tax. This provision will increase the employee’s portion from 1.45 percent to 2.35 percent for families making more than $250,000 a year (and for individuals making more than $200,000). Combined with the employer’s portion, the total rate will be 3.8 percent on every dollar of income over $250,000 when the tax hike takes effect in 2013." (heritage.org)  Such a large tax hike is not exactly ideal especially due to the current state of the American Economy.

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