Saturday, January 8, 2011

Is Obamacare working?

More Small Businesses Offering Health Care To Employees Thanks To ObamacareSays Rick Ungar at Forbes.

His point is that small business sees a tax advantage to offering health care, so more of them do it. Why is that called working? The small businesses simply exchanged health care subsidies for wages, and filled the basket later with taxes. The net result is that the wage channel is restricted and the entitlement channel increases.

This is a good result if you prefer to pay people with the entitlement channel rather than the wage channel.

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