Obamacare: Academia Incompetence vs. Tangible Reality

Karl Rove lays out what is coming in Obamacare, initiated by an academic who never had to exist in the real world:

"...This [reality of people being able to lose their health care] was brought home to me when I asked the CEO of a major restaurant chain about health reform's effect on his company, which now spends $25 million a year on employee health insurance. That will jump to at least $90 million a year once the new law is phased in. It will be cheaper, he told me, for the company to dump its coverage and pay a fine—$2,000 for each full-time worker—and make sure that no part-time employee accidentally worked 31 hours and thereby incurred the fine.

This reality is settling in at businesses across America. A Midwestern contractor told me he pays $588,000 for health insurance for 70 employees, contributing up to $8,400 a year for a family's coverage. If he stops providing health insurance, he'll pay $2,000 per employee in fines, and the first 40 employees are exempt from fines altogether." [Blogger note: 70 employees, the first 40 are exempt from any fine, so he will pay $2k on 30 employees totaling $60,000, as opposed to the $588K he is paying now. This owner could pocket $500K in savings and can throw 70 people on the public health care system. Maybe that's what Obama wants.]

So basically, Obama's legislation was set up so it is more efficient for private sector companies to pay the fines and drop health care for its employees, than provide health care for its employees. Driving quicker towards having everyone on national health care.