Hindsight

Is there anything Obama could have done differently to avoid the current health care mess?
Courtesy of Getty Images

The pundits are busy filing their reports on how President Obama blew it on health care reform. And while the health care fight is far from over--I remain convinced the Democrats will pass a bill, maybe even a good one--the pundits have a point. Obama surely has made mistakes, among them focusing so heavily on how reform would reduce the cost of medicine. Had he spent more time reminding voters that reform would provide them with the security they now lack--security from financial ruin and medical catastrophe, the type private insurance too rarely provides--he probably would have been better off.

But I’m not so sure this was obvious a few months ago, when Obama kicked off his campaign for health reform. On the contrary, I seem to remember quite a few writers and television commentators gushing over Obama and his advisors' aggressive approach to the cost problem. Remember, these were the days when Washington feted Budget Director Peter Orszag as a celebrity and turned “bend the curve” into a bumper sticker. And while you can--and should--write some of that off to typical Beltway mood swings, there were, at the time, plenty of reasons to think that Obama’s approach made sense.

First and foremost, it made sense substantively. Like a lot of longtime universal health care advocates, I’ve long focused on the need to give people economic security. Although improving the quality and reducing the cost of medical care seemed like worthy endeavors, those imperatives struck me as secondary. Very secondary.

But the evidence of unnecessary, even harmful medical care--compiled most famously by researchers at Dartmouth College and conveyed in books like Shannon Brownlee’s Overtreated--has simply become overwhelming. And the argument that health care is a threat to our long-term fiscal health--as advanced, most memorably, by Orszag before he joined the administration--has become impossible to ignore.

As a society, we can theoretically spend as much as we want on our health. Twenty percent of GDP, thirty percent, there’s no law of economics forbidding that. But the money spent on medicine is money not spent elsewhere--it’s government dollars that didn’t go into schools or public housing; it’s employer dollars that didn’t go into wages or other benefits. And don’t forget that, as health care gets increasingly expensive, it becomes harder for people to buy insurance--thus exacerbating the economic security problem.

Of course, the right policy isn’t always the easiest policy to sell. This is where political judgment comes in. Just because Obama was determined to make cost cutting a serious priority doesn’t mean that he had to sell it that way. But here, again, it’s easier to make the right call in hindsight. Americans still remain skeptical of government. And, particularly among political independents, government spending remains a proxy for waste. Making a big deal about how reform might curb health care spending--and, thus, ease the long-term burden on the federal budget--seemed like a perfectly plausible way to reach these voters.

No less important than the predispositions of voters was the predisposition of senators. For better or worse--and I would certainly argue worse--the makeup of the Senate means that small, relatively conservative states are represented. Throw in the filibuster, which can stall debate indefinitely until 60 senators vote to break it, and it becomes almost impossible for Democrats to pass legislation without convincing at least a few of their centrist members to go along. These centrists have turned balancing the budget into a fetish (although, it’s worth noting, they frequently make exceptions when it comes to helping out local constituencies or campaign financiers). Again, showing seriousness on cost control seemed like the best way to keep these senators in line.

The trouble for Obama is that, in getting serious about cost, he gave critics lots of fat, juicy targets. Obama proposed to tie payments to quality; Betsy McCaughey said he would be giving doctors money for pulling the plug on grandma. Obama proposed to put a board of experts, using clinical evidence, to set Medicare payment rates; Sarah Palin interpreted that as creating a “death panel” that would declare the sick and disabled unworthy of treatment. The great irony is that by trying earnestly to craft a plan that could control costs, as well as expand coverage, Obama has provoked a political backlash that will make cost control harder in the future. He’s tried to tackle health care like a grown-up and, at the moment, he’s suffering for it politically.

Should he have seen this coming? Should his advisors? Maybe. But plenty of other people missed the signals. And, speaking as one of them, I can easily see why.

Jonathan Cohn is a senior editor of The New Republic. This column is a collaboration between TNR and Kaiser Health News. KHN is an editorially independent news service and is a program of the Kaiser Family Foundation, a nonpartisan health care policy research organization, which is not affiliated with Kaiser Permanente.

COMMENTS (8)

08/28/2009 - 10:24am EDT |

You write, "But I’m not so sure this was obvious a few months ago, when Obama kicked off his campaign for health reform.". I don't recall a kick off! There was an early admission it would be addressed in Year One and then President Obama waited as each committee leaked or made a formal announcement of their progress.

The White House only became aggressive to defend or defuse. By choosing not to lead or direct, there was no "obvious" kick off (roll out, "Hey folks, this is what we have!"). Yes, this is a consequence or risk of allowing a few committees to slowly grind out a program and we're still witnessing how it's easier for the opposition to attack bits and pieces because ever ... view full comment

08/28/2009 - 1:07pm EDT |

So what should Obama have done differently? I don't see it here. And it's both too early and too late for such an article, anyway.

08/28/2009 - 1:40pm EDT |

"He’s tried to tackle health care like a grown-up and, at the moment, he’s suffering for it politically." Jonathan, I enjoy your work, but this statement suggests blindness on your part. There were many things Obama could have done had he wanted to act like a "grown-up." He could have demanded taxation of employer provided health benefits, or exemption of all health insurance costs - leveling the playing field with respect to taxes; created a federally chartered private insurance option, which be available across state lines, requiring charterholders to provide insurance that is portable and non-cancellable, with adjusted community rating, and including a medicare-like high risk pool, ... view full comment

08/28/2009 - 2:16pm EDT |

Mickey Kaus certainly saw this problem coming in advance, not just in hindsight.

08/28/2009 - 5:38pm EDT |

Obama's biggest mistake is being too abstract, focusing on both cost and (as in the campaign) the uninsured.

He should have focused, and still should, on the central points that unite the interests of the majority of insured Americans and the uninsured:

-portability

-non discrimination in prior disease

-universal coverage

This is politics 101. That is insurance reform. It appeals to self-interest. (Is there anyone who could object?). Everything else, whether the right and left likes it or not, is secondary. This is just not the time for big programs and spending. People are exhausted.

I'm shocked Obama got so off-message. The same happened in the campaign. Obama has great behind ... view full comment

08/29/2009 - 5:30pm EDT |

jc:

Is there anything Obama could have done differently to avoid the current health care mess?

george:

Sure.

1]

He might have asked his staff to assemble clips from his campaign stops...clips where he spoke of the need for quality health care for all Americans

2]

He might have noted a correlation between his promises and the rip-roaring enthusiasm the crowds fed back to him

3]

He might have noted the correlation between his campaign promises and the polls showing that most American citizens trusted the Democrats over the Republicans by far on health care

In last week's issue of Newsweek, Sharon Begley [one of the most insightful opinion makers around] wrote and article about ObamaCare.

Begley:

Anyone ... view full comment

08/29/2009 - 10:55pm EDT |

It is truly amazing how your analysis of the ongoing health debate in Washington is not just incorrect, but literally upside down. First of all, the Administration nor any of the Congressional bills (none of which can really be analyzed because none of the four Committees of Jurisdiction has posted an official amended bill) really had any cost containment. Anyone who knows even the basics of CBO scoring methodologies knew that CBO would never score IT, comparative effectiveness, and preventive care as containing health care costs. Orzaig was doing his best at CBO to try to change these rules when he headed this organization, but thankfully the career professionals at CBO and other honest ... view full comment

08/30/2009 - 8:10am EDT |

law:

[neither] the [Obama] Administration nor any of the Congressional bills (none of which can really be analyzed because none of the four Committees of Jurisdiction has posted an official amended bill) really had any cost containment. Anyone who knows even the basics of CBO scoring methodologies knew that CBO would never score IT, comparative effectiveness, and preventive care as containing health care costs.

george:

Law may not back the Obama administration's approach to health care reform but the two of them would certainly wonk each other senseless debating it.

Now, I am not suggesting that analysis like this is the wrong way to go. After all, the reason legislation of this magnitude [and ... view full comment

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