Changing Our Budget, One Healthcare System at a Time

 

Image source: The New York Times

When looking for solutions to our country’s debt, I’ve always been a proponent of taxing billionaires to rebalance the distribution of wealth and income. Wealthy people get away with a lot—using illegal substances, buying their kid’s way into college, or having sex with minors and not going to jail… it seems only fair that they pay their share of taxes, right? Reading The Deficit Myth (Kelton, 2020) shows that this may not be the approach we need to take. Kelton asserts that “feigning dependence on those with incredible wealth sends the wrong message, making them appear more vital to our cause than they actually are” (p.12). It is easy to get caught up in the anger and frustration we feel when we see rich folks doing whatever they want with no repercussions. But we should be channeling these strong feelings towards the system that created taxes in the first place: the federal government. 

Learning that taxes were created not to put money back into the pockets of the government, but to get people to produce goods and services, was mind-blowing (Kelton, 2020, p. 24). It seems that another element of “the lie” is that our government puts so much pressure on low- and middle-class folks to take responsibility for our country’s debt, when in reality it can be solved by people in positions much higher than our own. Fiscally-responsible budgeting—establishing a budget that prioritizes human outcomes while recognizing our economy’s resource constraints—is a way to do this (p. 40).

Would Universal Healthcare Really Work in the U.S.?

A policy change that I would recommend implementing is universal healthcare. The video above does a good job of explaining why our healthcare costs are so high (e.g. high-salary executives, advertising) and provides examples of what universal healthcare looks like in other countries. It also shows how the United States would save billions of dollars if we established a single system for obtaining and paying for healthcare. There are 27 million people in the U.S. without healthcare at this moment, and every year 22,000 individuals die from health problems that could have been treated if they had access to healthcare. Employment plays a big factor in this access, as our health insurance is currently tied to our jobs. When people change or lose employment, they also lose access to insurance, which can lead to pretty costly treatment, debt, and even bankruptcy. (We saw this issue arise when COVID-19 hit earlier this year, leaving thousands of people unemployed and without insurance at a time they needed it the most.) Universal healthcare would give everyone access to health insurance no matter their employment status, which is a budgeting change that would “prioritize human outcomes”. Though, establishing universal healthcare in the U.S. could come with drawbacks (e.g. tax increase, different quality of care).

Healthcare reform is not an easy task. There is a lot of research, planning, and budgeting that will go into the decision, and I’m sure many people would not be happy with the change. Though I believe it is important for us to start talking about how we can change this system to provide people with the services they need. Everyone is deserving of a healthy life no matter their employment status or income level, and people shouldn’t become bankrupt for choosing to stay alive.

References:

• Kelton, S. (2020). The deficit myth: Modern monetary theory and the birth of the people's economy. PublicAffairs. Kindle edition.