3 "True Lies" About Obamacare From the Latest CBO Report

Mark Twain famously said that there are three kinds of lies: "lies, damned lies, and statistics."A report from the Congressional Budget Office, or CBO, released this week provided plenty of statistics, many of which related to the Affordable Care Act, commonly known as Obamacare.

But could some inaccurate conclusions be drawn from the CBO report? It depends on how you read the data. Here are three "true lies" about Obamacare from the report -- statements that are technically correct yet fail to tell the full story.

Source: Wikimedia Commons.

1. Obamacare will increase unemployment.
According to the CBO, Obamacare will reduce incentives to work for many Americans, resulting in a lower labor force participation rate than would have otherwise occurred. Although total employment will rise over the next 10 years, the CBO says "that increase will be smaller than it would have been in the absence of" Obamacare.

Does this mean Obamacare will cause the unemployment rate to go up in the coming years? Actually, no. The CBO says that more people will simply choose to drop out of the work force because of the impact of the health-reform legislation. That increases the ranks of the unemployed -- but not the unemployment rate.

There are considerable differences of opinion as to whether this effect is good or bad. The White House said that the drop in labor force participation "reflects the fact that workers have a new set of options and are making the best choices that they can choose to make for themselves given those options." Others, however, point out the CBO's assertion that higher taxes are a key contributing factor in "discouraging work" at the same time that businesses will still be in demand for workers. 

2. Obamacare will result in an $8 billion payoff to insurance companies.
Insurance companies stand to receive a whopping $8 billion from the risk corridors contained in Obamacare, according to the CBO's latest projections. These risk corridors were designed to protect insurers against substantial losses in the first three years of implementation of the health reform law.

Does this mean that health insurers are being "bailed out"? Not when you look at the bigger picture. Yes, the CBO thinks that the federal government will pay insurance companies $8 billion over the next decade. However, insurers will also fork over $16 billion to the government. That doesn't sound like much of a bailout.

There is at least one aspect of the CBO's analysis that involves a great degree of uncertainty, though. Those rosy estimates are based on a review of Medicare Part D risk corridor payments rather than a review of actual Obamacare enrollment data.

How is that enrollment data looking so far? Humana (NYSE: HUM  ) just announced that it expects to receive between $250 million and $450 million from the government to offset underwriting losses from Obamacare -- a little less than half of which will come from risk corridors. These anticipated underwriting losses will come in large part from lower enrollment of younger (and presumably healthier) individuals.  

3. Obamacare won't make a dent in the number of Americans without health insurance.
The CBO predicts that around 31 million non-elderly individuals in the U.S. won't have health insurance 10 years from now. Back in 2009, President Obama referenced "the more than 30 million Americans who cannot get coverage" in defending Obamacare. So will health reform not even make a dent in reducing the number of uninsured citizens?

It's true that the CBO's figure sounds awfully similar to the number the president cited four years ago. However, there's more to the story.

Obamacare "will markedly increase the number of non-elderly people who have health insurance," according to the CBO, to the tune of 25 million Americans by 2016. On the other hand, as many as 7 million fewer individuals will have employment-based insurance starting in 2016. Obamacare certainly makes a dent in the number of uninsured, multiple dents, in fact -- both good and bad. 

Follow the money
At The Motley Fool, we're always looking for the investment angle in any story. Are there opportunities stemming from these "true lies"? I think so.

The CBO suggests that Obamacare's impact on suppressing labor force participation will take the heaviest toll on lower-wage workers. That could have fast food chains and other employers of lower-wage workers looking increasingly more to automation. Start-up companies such as Momentum Machines are already rolling out burger-making robots.

Unfortunately, Momentum Machines isn't a viable alternative for most investors yet. However, Google (NASDAQ: GOOGL  ) is. The search-engine giant has been gobbling up smaller robotics companies. Google is reportedly eyeing automation of supply-chain processes. It would be no surprise if the company's technology ultimately ends up helping employers perform tasks that lower-wage workers handled in the past.

With health insurers paying more to the federal government than they receive and a game of musical chairs with overall numbers of uninsured individuals, should investors stay away from insurers? Not necessarily. Twenty-five states have already expanded Medicaid as part of Obamacare. The CBO thinks more will follow, with 80% of the potentially eligible population residing in states that have expanded Medicaid by 2018.

This presents a significant opportunity for WellPoint (NYSE: WLP  ) in particular. The nation's second-largest health insurer claims the highest number of Medicaid members. And of the 14 states where WellPoint operates, most have already expanded Medicaid -- most notably California and New York.

Keep in mind, though, that there's no guarantee that the CBO's projections will prove to be accurate. Another quote often attributed to Mark Twain might be worth heeding: "It ain't what you don't know that gets you into trouble. It's what you know for sure that just ain't so." 

The truth about how Obamacare affects you
Confused about how Obamacare will affect you? Obamacare seems complex, but it doesn't have to be. In only minutes, you can learn the critical facts you need to know in a special free report called "Everything You Need to Know About Obamacare." This free guide contains the key information and money-making advice that every American must know. Please click here to access your free copy.


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  • Report this Comment On February 09, 2014, at 11:52 AM, pgaz wrote:

    Obamacare, along with a projected rise in minimum wage, will cause millions to lose their jobs based upon simply economic rules. When you raise the cost of labor, other alternative (such as automation) become more economically attractive. The fast food industry (particularly the large chains) will invest heavily in automation to replace some of its workforce. This includes kiosk order processing along with automated cooking devices. If McDonalds can produce the same volume of product with 20% fewer employees and save money, this will happen. The Obama social experiment will squeeze out the middle class. We will eventually have a large and increasing base of non-workers who choose not to work because the benefits of not working will approach the benefits of being employed.

  • Report this Comment On February 09, 2014, at 11:55 AM, carvin1956 wrote:

    LOL...this article is a REAL load! The liberal media Kool-Aid drinkers are partnered with the lefty's in gov and going with the narrative that "you don't need a job you're not happy with...quit and be a sculptor, spend more time with your family, etc."....yea, we're all stupid....who the h*ll believes this crap except the uneducated.

  • Report this Comment On February 09, 2014, at 11:58 AM, dacrimmins wrote:

    This law can not be analyzed in the context of the arithmetic put out by supporters of ObamaCare, without also pointing out the unbelievably intrusive, freedom sucking reality that the Federal govt is now sitting right in the room with you and your doctor. And that ObamaCare creates gigantic distortions in incentives. And that ObamaCare inserts absurd regulations that make running a business all that much harder.

  • Report this Comment On February 09, 2014, at 12:03 PM, DaSky wrote:

    You are officially bought and paid for Fool!

  • Report this Comment On February 09, 2014, at 12:11 PM, thomaskanary wrote:

    The lies keep piling up from the left.The cost of cool aid has gone way up ,because of the demand.

  • Report this Comment On February 09, 2014, at 12:13 PM, slanciano wrote:

    Fool ! Bought & paid for. Go away you Liberal elitist idiots who write this kind of trash. Hope you get at taste of your own medicine should sign your name on the Obozocare dotted line.

  • Report this Comment On February 09, 2014, at 12:19 PM, Lukedog10 wrote:

    More total nonsense about Obaminable Care, Projections, projections,snd more projections, no real facts yet. This program is far too massive too predict it's ultimate effect. I believe that it will completely devestate our country.

  • Report this Comment On February 09, 2014, at 12:20 PM, RichardRiker wrote:

    It is just another Obama lie when the people who have dropped out of the work force are no longer counted as unemployed. They are unemployed not because they don't want to work and have dropped out of the work force but due to this regimes total ineptness at handling the economy resulting in no jobs. So, chalk this up to just another Obama lie.

  • Report this Comment On February 09, 2014, at 12:22 PM, emal2me wrote:

    Some people have long commutes because they need their company's health insurance. With ACA they'll be able to:

    1) Quit and get a job closer to home.

    2) Doing that will provide a big savings on their gasoline bill.

    3) Doing that will result in one less car contributing to rush hour congestion.

    4) Doing that will result in one less car spewing pollutants into the atmosphere.

    5) Doing that will result in less wear and tear on the car

    6) People will be able to spend more quality time with family because not only will they be home earlier, they'll be less exhausted too

    ACA may not be perfect but it's better than what we had.

  • Report this Comment On February 09, 2014, at 12:34 PM, VegasSmitty wrote:

    Obamacare, like Obama = epic fail!

  • Report this Comment On February 09, 2014, at 12:34 PM, GuitarJim wrote:

    The CBO was way off base with it's original projections in 2010 when the law was first passed. They've adjusted their projections to be a little closer to reality, but they're still way off base. Even the new projections optimistically presume that the participation rate is going to be moderate without taking into account the cascade of adverse effects.

    Many people, especially young healthy people, are refusing to buy insurance, even with subsidies, because the likelihood of them collecting any benefits is near zero. They've also adjusted their federal withholding to ensure they aren't owed a refund next year, which will basically remove the only means the IRS has to enforce the penalty. With fewer healthy people in the risk pool, the insurance companies are going to raise rates and bill the federal government for their losses.

    The higher rates are going to chase even more people out of the private insurance market during open enrollment at the end of this year. That's going to cause rates to rise again next year, and the insurance companies will, once again, bill the federal government for their losses.

    The "risk corridor" reimbursements will run out in three years, leaving insurance company actuaries with no choice but to price their product according to what it actually costs. Eventually, the ratio of healthy to sick buyers in the risk pool will be so skewed that practically nobody will be buying private individual health insurance unless they're chronically ill. With no profit generating clients left to buy their product, insurance companies will pull out of the exchanges. With no private insurance companies in the exchanges, the government will be forced to do something drastic - they'll start offering Medicaid on the exchanges to anyone willing to pay a premium to buy it. More and more businesses will stop offering group insurance since it will be dramatically cheaper to pay the fine and send their employees to the exchanges to buy Medicaid.

    At that point, we will have a single payer system. The private health insurance industry will no longer exist. Many doctors and health care providers will quit the industry, unwilling to allow the federal government to dictate their rates.

  • Report this Comment On February 09, 2014, at 12:39 PM, uwdon4 wrote:

    Lies and more lies and should we expect anything less than to try to continue to "spin" that this junk government program will ever work.

    It has always been based on lies, passed into law by telling lies (remember what Comrade Obama said about keeping your doctor, your present plan), and the lies continue.

    Socialized medicine doesn't look..just look at the UK - a country 1/10 the size of the U.S.

    Obamacare is not only a job killer but a killer of freedom and liberty.

    Thanks for nothing. Unlike the Hippocratic Oath..

    it does harm and a lot of it.

  • Report this Comment On February 09, 2014, at 12:43 PM, rg123 wrote:

    Well, the writer of this article is both right AND wrong. In my area, they say unemployment is dropping, but... hardly anything (6 out of 34 jobs posted on dept of labor site as of this morning are even close to full-time). Employers right and left are dropping hrs to 20-28 hrs/ wk, at or just above min wage, no benefits. And question: if my unemployment just ran out, and I'm still looking but not working, am I included in the unemployment stats? I know many that are in the same boat, and it's overcrowded. I'd move to find work if it exists, but ripping my kids out of school, away from friends and family, and cost of moving is the worst option. How 'bout giving employers incentives to hire instead of this debacle?

  • Report this Comment On February 09, 2014, at 12:47 PM, Gary713 wrote:

    The, author, Keith Speights, is obviously drinking the Obama Koo-aid. He thinks more people on the dough on tax payers' expense, to pursue hobbies instead of work, is a good thing. Yeah, it is a good thing for the people on the dough, but not for the hard working tax payers having to work extra hours to support these leeches.

  • Report this Comment On February 09, 2014, at 12:48 PM, PaulSell wrote:

    When asked about these 3 LIES, Barry smiled and said, "I just love that Yahoo picture of me with the Great Seal behind my pointy head, that looks like a halo on me. In addition I just want you to know, "I have a Bic Pen and an Obamaphone."

    Actually the Republicans are now just waiting for Barry & Company to work the kinks out of his legacy legislation OB☭M☭C☭RE ●! After all this isn't Dear Leader's just shuck and jive stuff, this is about millions of peoples lives. When OB☭M☭C☭RE ● smoothes out with the millions of lives it has disrupted, the Republicans promised to get right on immigration. Barry was quoted as saying," When I go out and say the, "You like it you can keep it 's...for years and still as recently as the SOTU, constantly fudge my numbers and get 4 Pnocchios from the Washington Post the next day, I JUST CAN NOT UNDERSTAND WHY "YOU PEOPLE" STILL DON'T BELIEVE MY SHUCK & JIVE ANYMORE? I know you're all struggling and I want you to just think back about Christmas. It cost you taxpayers $800,000 to bring my main squeeze "Snuff Lip" back from her extended stay in Hawaii. Now, for the millennials: Welcome to YOUR OB☭M☭C☭RE ●! The Liberals that now have to survive re-election with that albatross hanging around their socialist necks, STILL have to convince you soft headed millennials into another suicide vote for them again. Maybe we, Barry & Company, can chat up Pot Legalization, minimum wage increase, and Income Inequality, while still avoiding your chances at even getting a job, we Dems are just going to encourage you into believing that the lying Dems are actually going to make your lives so much better."

    OB☭M☭C☭RE ● NOW has DEATH SPIRAL written all over it. I do hope the Republicans are meeting with Insurance Companies, as I write, figuring out how to defuse this Economic time bomb with their new plan, when they regain the Senate in 2014.

  • Report this Comment On February 09, 2014, at 12:49 PM, Gary713 wrote:

    Motely Fool has officially become Obama cheerleaders, just like MSNBC.

  • Report this Comment On February 09, 2014, at 12:51 PM, ricky7777 wrote:

    how does the authors 3 points shed a positive spin on this abomination?

    1. Obamacare will increase unemployment.

    Just because the individual dropping out of the workforce inn't counted any longer doesn't change the fact that the no longer are in the work force! no more taxes to be paid only handouts.

    2. Obamacare will result in an $8 billion payoff to insurance companies.

    were is the 16 billion coming from if there are built in protections agents losses once again bug business protected by government wile the rest of us are on our own!

    3. Obamacare won't make a dent in the number of Americans without health insurance.

    it will make a dent both good and bad! isn't that what we had before accept we got to choose our own policy and doctor!

  • Report this Comment On February 09, 2014, at 12:56 PM, rickochey wrote:

    does Motley Fool think that all of us investors are stupid people with their love and support for a socialist America?

  • Report this Comment On February 09, 2014, at 1:04 PM, RobAllen wrote:

    American should push your Congress to make

    these laws since they will benefit american :

    1) Retirement age is 65, forbid people to work

    after 75, they are slow and take jobs from

    the young graduate people.

    2) The government needs to deduct 10% on

    each american check only to pay for the

    heathcare insurance to make sure it cover.

    3) The US gov. should pay for all students who

    have 3.5 grade average and want to be doctor,

    & they will be on the gov. pay roll to cut costs.

    4) The US should nationalize all hospitals and

    build more to cut down costs.

  • Report this Comment On February 09, 2014, at 1:07 PM, jmgconsultants wrote:

    The Fool had been Obamaized and is no longer relevant in anything they report. This article is a shame and the American people know it is a shame. Millions of Americans across the country are hurting thanks to this law. Jobs are being lost, taxes have increased and the American people are speaking loudly that all Democrats will pay the price and lose their seats this Nov.

  • Report this Comment On February 09, 2014, at 1:13 PM, StormKat33 wrote:

    Hey The Motley Fool "who's the more foolish, the fool or the fool who follows him?"

    You said it yourself: to educate, AMUSE, and enrich.

    To educate us into your comedy, to enrich us full of your crap, and to AMUSE us into your foolishness.

    Your mascot says it all! Roflmao

    Now who's the fool?

  • Report this Comment On February 09, 2014, at 1:20 PM, KevinO3826 wrote:

    I watched both sides explain how this is good or bad for America. He is the inescapable fact. When people cut back their working hours or employers do it for them they will need and get the subsidies. This will increase rates and the amounts the government will pay out to insurance companies. That's the way Obamacare is set up. What the CBO reports actually points out is that because Healthcare under Obamacare is such a huge expense people are willing to work fewer hours to get the subsidy. That is bad for all tax payers and those not getting subsidies. Guess who will pay more? And nationalizing hospitals and healthcare is a even worse idea.

  • Report this Comment On February 09, 2014, at 1:23 PM, ObamaStinks wrote:

    When will the liberals learn that their anti-business legislation like the ACA will cost our country billions, destroy incentives for business and jobs, and reduce the tax revenues that pay for our infrastructure and welfare programs? The new liberal army of IRS agents and their fat pensions paid for by the working class in the private sector is just another wasted, corrupted, socialist event. LOL - Oh and spare me the Liberal insanity that spending and wasting billions somehow generates revenue.

  • Report this Comment On February 09, 2014, at 1:25 PM, Jaybar wrote:

    The White House says that 2.5M people dropping out of the work force is a good thing. Well, if it's a good thing, then it should still be a good thing if we would all work part time and get those insurance subsidies. What's that you say? If we all did that there would be nobody left to subsidize us? Beyond that, the economy would collapse if we all took advantage of this "good" thing? Let's not worry about these little details.

  • Report this Comment On February 09, 2014, at 1:33 PM, Jaybar wrote:

    Rob Allen has a list of "suggestions" that we can push congress to make to benefit Americans. Did you notice that all his "suggestions" impose his will upon you? He tells us what YOU must do and the way WE should live. Typical Libby. Freedom means not only social freedom, but economic freedom.

  • Report this Comment On February 09, 2014, at 1:34 PM, 11thvictim wrote:

    wow... the NWO has the dirt on Keith Speights too. I take it we should look forward to the chip in our butts so obamacare can function like the trains in Germany.

  • Report this Comment On February 09, 2014, at 1:35 PM, 850KJ wrote:

    Taking the politics out of it. If this was a policy being implemented by a company, that took 20,000pages to enact, thousands more to try and explain it, changed or ignored company rules to get it passed, and was failing so miserably, would this be a Buy -Sell -Hold or run for your Life.

  • Report this Comment On February 09, 2014, at 1:36 PM, sogole wrote:

    We started by trying to give health insurance to 30M uninsured what we've done is tear down 1/6 of the nations economy. It's like having a fine house but you have a defective faucet so instead of repairing the faucet you tear down the entire house and build a new one.

  • Report this Comment On February 09, 2014, at 1:44 PM, JePonce wrote:

    Paul Krugman, Democrat, Economist Nobel Laureate, states, “To fund ObamaCare will require raising taxes to increase revenue, and using the Death Panel to reduce expense.”

    We got the ObamacareTax as defined by the U.S. Supreme Court.

    Obama cares about the costs, "We have the most expensive medical costs in the world."

    Obama care about citizens so long as they either support Federal Income Tax Revenue, or are members of the Welfare Plantation he has created, but the moment they turn age 65, the become an expense, and his death panel will take care of that.

    Once upon a time in America our legal system sought truth and administered Justice. Obama legal system ignores truth and administers fairness and economic expediency.

    Think about it as you pay for your neighbor's penis pump.

  • Report this Comment On February 09, 2014, at 1:45 PM, JePonce wrote:

    Motley must have a vested interest, and expects an ROI, on ObamaCareTax.

  • Report this Comment On February 09, 2014, at 1:50 PM, CrazyDocAl wrote:

    How can it be good for the country when people either reduce hours or stop working so they can get the government (US tax payer) to pay for their health insurance? Health care is not free. Just how far can we go before the number not pulling their fair share takes the country down?

  • Report this Comment On February 09, 2014, at 1:52 PM, BillMarshall995 wrote:

    Obama has turned the healthcare world upside down... now the poor have Medicaid and no deductible and the middle class have some subsidies offset by giant deductibles. so now the poor run to the ER because everything is free while the middle class delay care because of the huge deductibles.

    He has created a United states where a person can drop out of school, get free healthcare and food stamps, crash in their parents basement and never get a job. They will be able to fake back pain and get vicodin to trade for the latest xbox and off we go to the poor house as a nation.

    Just wait until all the homeless in DC sign up and suck the system dry. Just wait until the drug addicts realize that rehab is now free (to them) and that if they get arrested for anything they check into rehab instead of jail and then go to court saying they are fixed and were a "victim" of drugs.

    Obama has redistributed the wealth from the middle class to the poor. Meanwhile the rich buy new yachts with their investments in big pharma.

    He can't even get that right....

  • Report this Comment On February 09, 2014, at 1:52 PM, pacer12 wrote:

    Those 2 million who choose to be welfare recipients and live off of others who choose to work will equal 2 million more voters for the democrats... Sick. Lazy, Bums.

  • Report this Comment On February 09, 2014, at 1:57 PM, rickshelton53 wrote:

    THE BEST THING ANY AMERICAN COULD DO IS QUIT YOUR JOB LIVE OFF THE GOVERNMENT AND LIVE IN LOW INCOME HOUSING ,,JUST LIKE THE PRESIDENT IS DOING

  • Report this Comment On February 09, 2014, at 2:00 PM, agtumminello wrote:

    Just today some states announced that their insurance exchange might bankrupt them; Medicaid enrollment through ACA is tripling, newly insured are still using emergency rooms instead of seeing doctors and doing preventive care, while doctors are refusing to treat Medicaid patients, federal costs will balloon, and now lower paying jobs will disappear to robots so those people will need more government money, AND they vote. Troubling. Troubling for the continued existence of this soon to be bankrupt country on many levels.

  • Report this Comment On February 09, 2014, at 2:10 PM, mpbulletin wrote:

    "On the other hand, as many as 7 million fewer individuals will have employment-based insurance starting in 2016. "

    This statement makes it sound like anyone without employment-based insurance is uninsured. This just isn't the case. They can get insurance through the marketplaces.

    Besides, hasn't it been shown in a number of studies that employer-based insurance has contributed to higher premiums and skewing the actual prices individuals pay?

  • Report this Comment On February 09, 2014, at 2:12 PM, ferdiefor wrote:

    The Obama state-controlled DNA swallowing media has hit yet another all time low.

    In spite of every effort they make to perpetuate Obamacare lies most people understand that those of us who work and don't get subsidies subsidize those who get subsidies to make decisions not to work as much or not work at all.

    I won't speak to fairness but in the future when all these people have sub-par retirements they are going to demand a new social security entitlement paid for by higher wage earners who are then told their retirement benefit must be reduced so that people who worked for fewer years or fewer hours get more.

    Just how much redistribution do you think the geese laying the golden eggs will tolerate before they throw in the towel?

  • Report this Comment On February 09, 2014, at 2:46 PM, PJSolarz wrote:

    “The WH says” -- anything that follows that opening phrase is a lie. More people will be unemployed, yet the unemployment rate will not go up… what kind of stupid do you have to be to believe this?

    If you have 30 million without insurance now and in ten years you still have 30 million without insurance why did we make such drastic changes to a system that worked and 85% of the people were happy with?

    This author is like the rest of the media lapdogs. They come up short on why disastrous boondoggle was put into place and why Obama had to force, bribe and lie to congressmen to get their votes and why the American people over-whelmingly opposed it and still do. This is not about health care, it is about control and the largest tax increase ever imposed on the American people.

  • Report this Comment On February 09, 2014, at 2:55 PM, mark636 wrote:

    Obamacare was a MAJOR cost put on small to medium sized business THEREFORE killing the job recovery

    The left wing press will continue to drive your country into the ground

  • Report this Comment On February 09, 2014, at 2:57 PM, Chicagofun1 wrote:

    Wow. This is one impressive liberal spin. What a load.

  • Report this Comment On February 09, 2014, at 3:18 PM, tommy779 wrote:

    With all the negative comments ,which I 100% agree with , I hope you will all help us (non hippies) secure the House AND the Senate later this year.Then it won't matter if Hillary/Rahm get in in 2016.

  • Report this Comment On February 09, 2014, at 3:35 PM, foolsall wrote:

    WTF is taking people so long to get to the inevitable? Endless comments that go nowhere as every opinion stated as a fact - - can't be checked or verified. People just running their mouths; trying to manipulate information thinking that Morons will accept their point of view.

    Give it all up for a Single - Payer - - National Health Care Plan; and do it now! If Moron Politicians from both Parties don't know how to do that; just, put everyone under Medicare. Seniors Love it; and it seems to be working fairly well. Infrastructure is already in place. And, yes . . . it has to be paid for. No more free lunches! The Government is Broke!

  • Report this Comment On February 09, 2014, at 3:54 PM, fulredy wrote:

    Someone needs to explain why the unemployment rate is unaffected when a person becomes unemployed by ceasing to look for work?

  • Report this Comment On February 09, 2014, at 4:00 PM, OldJim51 wrote:

    I understand the first part, its the adage of "why work for it when you can get it for free (meaning at least 3 other workers are taxed to pay for it)." The rest of it simply states common sense. The economy won't be able to handle the loss of jobs and decreased work force when factoring in the individual costs of Obamacare.

  • Report this Comment On February 09, 2014, at 4:20 PM, JamesM wrote:

    THIS IS THE ONLY ISSUE! James Madison, our 5th President, in explaining the 10th Amendment said "The powers of gov't are few and defined." If Obama or any of their cronies can't find socialized medicine in the Constitution, then they need to quietly resign and give their huge salaries back to the gov't. It is unConstitution and Obama and his cronies know it. The simple fact is that he despises America, the Constitution and Jehovah God Almighty, but loves the New World Order / world gov't.

  • Report this Comment On February 09, 2014, at 4:48 PM, sabebrush6 wrote:

    So basically, Obamacare is a giant scam designed to funnel a lot of money to the gov't.

  • Report this Comment On February 09, 2014, at 4:50 PM, bettyneace wrote:

    We're all fools for reading this article I read the CBO report and I can interrupt what the article is about without your two cents of brain washing

  • Report this Comment On February 09, 2014, at 4:54 PM, yzf wrote:

    The fact that we are even debating whether or not it is a good thing that many Americans will "opt out" of working because they will receive enough governmnet subsidies that they can stay home and not do anything to help the country move forward economically is the death rattle of the American dream.

    The Fool who wrote this article (and I do not mean that euphemistically) wants to talk about the investment opportunity of automation replacing workers because government has made it to expensive to hire them. While not seeing the obvious consequence of all of those people and future people not having availability to these jobs in the future.

    I simply have one question for anyone who would argue that this is anything but a debacle in the making. What will these people do when we finally run out of money to buy votes with and they have to go out and try to support themselves?

    The jobs that they once did will be automated and now they have nowhere to turn. As Margaret Thatcher famously once said " the problem with socialism is that eventually you run out of other people's money."

    I will finishing by saying that in life you rarely get what you want, you usually get what you deserve. if we continue down this ridiculous path, I assure you we will all get exactly that.

  • Report this Comment On February 09, 2014, at 4:56 PM, Dondo7 wrote:

    These articles from the left are coming out about every day now. I think they must be in a panic, yesterday I read one from bloomberg ranting about Bush??? Do these Socialist Democrats really believe this stuff they are writing or just (as usual) publishing with the hopes of Social Engineering?

  • Report this Comment On February 09, 2014, at 5:03 PM, GrumpyBear wrote:

    Dacrimmins said: the unbelievably intrusive, freedom sucking reality that the Federal govt is now sitting right in the room with you and your doctor. "

    Huh? How is buying subsidized PRIVATE insurance getting the Feds into health care? I'm a physician, so please let me know.

  • Report this Comment On February 09, 2014, at 5:08 PM, zzipps wrote:

    WTF??

    "The CBO says that more people will simply choose to drop out of the work force because of the impact of the health-reform legislation. That increases the ranks of the unemployed -- but not the unemployment rate."

    Are they kidding???? The White House thinks its a good thing that people prefer to sit back on their ssss and not work, and this is a GOOD THING??????

    What the hell is going to happen when everyone decides that it is better (and it obviously is) to sit back and let someone else do all the work and pay all the taxes?

    Is this the America that the White House wants us to turn into????

    Oh, and where is the press to question him????

  • Report this Comment On February 09, 2014, at 5:19 PM, Tommylee2 wrote:

    Why people are signing up for this disaster is beyond my comprehension. The IRS can't imprison EVERYBODY so if everybody ignores the Obamacare signup mandate what will happen? They'll have to either do away with it or change it into something manageable, less costly and cover more people. Quite frankly, all the Feds needed vto do in the first place was to keep their hands off our medical care system.

    As far as investing in anything to do with health care right now, I think it is a big mistake and one that is going to bite a lot of investors in the wallet real soon and real hard.

  • Report this Comment On February 09, 2014, at 5:31 PM, flyingdeadthing wrote:

    Great job of rationalizing! With outstanding journalism such as this there's no limit to what we can get the uneducated to believe.

  • Report this Comment On February 09, 2014, at 5:43 PM, LiberalHater wrote:

    Sign the Petition To End Obama Care!

    Go to this Link and Sign It!

    http://stopobamacare.mn/

  • Report this Comment On February 09, 2014, at 5:49 PM, RickRoma wrote:

    I have yet to read anything from The Motley Fool that isn't an attempt at cheerleading for Obamacare, and this is no exception.

  • Report this Comment On February 09, 2014, at 6:31 PM, Icthelite wrote:

    I remember hearing quite some time back that there were over 30 million people without health insurance. We were told that this is what all this was about. Now after going through all the hoopla, getting laws passed that will force ALL working class Americans to pay for a health plan that really is just designed to feed more monies into the governments tax base, call it what you like, we are still going to end up with about the same number of uninsured people and the government is one step closer to getting what it always wanted, single payer health coverage that they fully control.

    Is it obvious who it was that was supposed to win here?

  • Report this Comment On February 09, 2014, at 7:08 PM, mhansen94 wrote:

    So, Obamacare "will markedly increase the number of non-elderly people who have health insurance" by 25 million two years from now, yet the number of non-elderly people who won't have health insurance 10 years from now will be 31 million, about the same as Obama said there were in 2009. How does that make any sense at all?

  • Report this Comment On February 09, 2014, at 7:15 PM, gulfcoastrebel wrote:

    So-called, Tea Party libertarians are supposedly champions of the individual being able to make his own choices. But let "Obamacare" give people the option of working PT, or not at all, to get insurance; or continuing just as before, under Republicans and before the law, full-time and uninsured, and they're suddenly against 'that kind' of freedom for the individual.

  • Report this Comment On February 09, 2014, at 7:22 PM, djm20 wrote:

    Lies lies lies. Foolish indeed. All in with the BHO Administration. Like AARP, abandon your audience and market.

    So sad. Eliminating credibility with every article.

  • Report this Comment On February 09, 2014, at 7:26 PM, craftsmandoors wrote:

    "That increases the ranks of the unemployed -- but not the unemployment rate."

    That's because we have modified the "unemployment rate" to make it sound better than it actually is by only counting those who file for unemployment not counting those who are under employed, part time employed when they need/want full time, or simply have given up and let the government support them. This is a ridiculous article.

  • Report this Comment On February 09, 2014, at 7:40 PM, Monte wrote:

    It is time to check out the new republican health care plan, One can find the reviews on the internet and all agree it raises taxes; puts the for profit insurance companies in charge of your health care

    Brings back pre existing conditions and cancelled policies.

    Reintroduces states high risk pools; tax deductions instead of subsidies if you work;

    Charge more for age now 3 to 1 under republican plan 5 to 1

    Destroy the employer based health care system since companies are not required to offer health care to their employee put a cap on yearly hearth care payments; reduces medicaid which includes denial of coverage and the republicans will finally to able to get ride of grandma due to high costs

  • Report this Comment On February 09, 2014, at 7:52 PM, skidnanski wrote:

    The CBO was cited numerous times to support Obamacare. Whenever, one pointed out the possibility that it was wrong the caveat would ring out "they are nonpartisan." Well, to the author of this piece of pro-Affordable Act wishfulthinkingness I would exclaim "they are nonpartisan." The proof on what this giganitc piece of legislation will do will be faced by average Americans. It will, in my opinion, be not a pretty sight and that is for the vast number of Americans.

  • Report this Comment On February 09, 2014, at 7:55 PM, Blemangeman wrote:

    1). The CBO Never said that the ACA will "cause Americans to lose incentive to work".

    They said that older people may not choose to stay at their jobs purely on the basis of keeping their insurance. Look up the transcript online. It's the Republicans and right-wing pundits that lied about what the CBO said. The reason I use the word "lie" is because they claimed they were Quoting them, and they never said those words.

    This article is less foaming at the mouth than Dan Caplinger's yesterday, but no less dishonest.

    what has happened to Mötley Fool? Are they getting paid by the word by the Koch brothers now?

  • Report this Comment On February 09, 2014, at 8:03 PM, Blemangeman wrote:

    My, the bashers are out in full force today. Here's a question for all you guys; where was your outrage when Bob Dole proposed this Same Plan back in 1992, and called it "personal responsibility"?I missed it. Where was it?

    I thought so. Complete hypocrites, every single one of you.

  • Report this Comment On February 09, 2014, at 8:36 PM, Rifleman3006 wrote:

    Keith - Your an idiot or just too stupid to get it. I am an Insurance Consultant and not only is it going to cost jobs but I see many of my clients reducing the number of hours many of their employees work to keep them under the 30 hour minimum so they won't be offered insurance. It's happening everywhere so spread your BS elsewhere you genius!

  • Report this Comment On February 09, 2014, at 8:37 PM, Rifleman3006 wrote:

    Bieman, It wasn't even close to the same plan.. You are stupid as well.

  • Report this Comment On February 09, 2014, at 9:13 PM, timchaprnka wrote:

    Obamacare will increase unemployment. This is manipulation of words. It's like not counting the people who drop out of the work force when calculating unemployed. It's like taking major things that people use every day out of the equation when figuring inflation. Lies, lies, and more lies.

  • Report this Comment On February 09, 2014, at 9:18 PM, heathkits wrote:

    Ok, Obama's rating is in the toilet because of the predatory Obamacare law - but - will the "good honest people" vote next November? That is the problem: less than 1/2 of the eligible voters made it to the polls in 2012. Obama's "mandate is actually only 27% of the electorate, who actually voted for him. We don't know how the others would have voted - they stayed home that day. They defaulted their vote to those who organized the Obama voters to get them to at least one poll, to vote at least one time.

    Indeed, the white vote was evenly split between Romney and Obama, yet the 13% black vote was 92% solidly voting as a block for re-election of the candidate that most resembled them physically. Obama's margin of victory was less than 1/3 of those votes. Had Black voters followed the same pattern as other voters, Mitt Romney would be our President today. But, they voted along racial lines and we got a racist instead.

    That is, the 2012 election was decided by a racist vote. The election was decided by black racism - specifically because half of the eligible voters, who could have prevented this travesty, could not find the time to register and vote. The no-shows are the people really responsible for allowing racists to take over this country. Blame them first!

    Ask your friends if they voted last time, if they are happy about the outcome of that election, and if they are going to vote this time. Because, if we can get a 2/3rds (veto proof) Republican majority in both houses - then everything Obama has done can be dismantled before his helpless eyes.

    That is the fitting legacy that Obama deserves!

  • Report this Comment On February 09, 2014, at 9:46 PM, blueshattrick wrote:

    Did the Obama people simply write this article directly and you signed off on it, or did you contribute some of your own thought and research into this? Anyone who thinks Obozocare is going to end up as something other than a disaster is clearly not paying attention......

  • Report this Comment On February 09, 2014, at 11:04 PM, Jeffkory wrote:

    This is a drop in the bucket compared to what BOTH parties have done to this country in my 46 years of voting- BOTH PARTIES ARE AT FAULT-- Lets get rid of the red and blue categories-- were all in this together- Red white and blue?? Lets do our homework clean out both houses of red and blue and get people with fresh uncorrupted ideas. 8 billion bailout for insurance companies? That's BS. They are so big and mighty now that there shouldn't be a bailout-- Maybe congress could give some of the 1265.8 BILLION- that they got passing 2 bills for in 2013 for defense- When the military branches said they didn't need it. The " stop the spending " Congress said yes you do.

  • Report this Comment On February 10, 2014, at 12:48 AM, kdavis860 wrote:

    I just can't see that it's helpful to allow "making the best choices that they can choose to make for themselves" when that means they choose to spend their life on welfare or otherwise leeching off others instead of working.

  • Report this Comment On February 10, 2014, at 1:34 AM, mso88 wrote:

    No amount of concocted "damage control" fictions by Obama's sycophantic shills will change the simple fact that Obamacare is a monstrous failure and must be repealed.

  • Report this Comment On February 10, 2014, at 2:37 AM, Galane wrote:

    "The CBO says that more people will simply choose to drop out of the work force because of the impact of the health-reform legislation."

    Another article based on this report said the CBO claimed businesses were cutting jobs and employee hours because people don't want to work.

    Riiight. Pull the other one. The "Affordable" Care Act has redefined "full time" employment at 30 hours per week. If a business only employs part time help, the business doesn't have to pony up for Obamacare insurance.

    Same deal if the business has fewer than 50 employees, full time or otherwise.

    Sooo, lets see. The feds pass a massive new law (which most of them that voted for it probably still haven't read) which states that if a business meets certain conditions, the business can pretty much ignore the expensive new regulations.

    Damn right the *business* is going to cut back on hours and/or jobs to come in under the guillotine on its income.

    But according to CBO "logic", the hours and jobs are going away because people don't want them - and Mt. Everest exists because people want to climb it.

  • Report this Comment On February 10, 2014, at 3:00 AM, MotleyFoolStinks wrote:

    As I expected, motley fool provides worthless investment "advice", and liberal lies

  • Report this Comment On February 10, 2014, at 5:33 AM, scanmike wrote:

    Why don't we pay for health care with the money Obama saved us keeping us out of war?

  • Report this Comment On February 10, 2014, at 5:44 AM, BDL83 wrote:

    1) The last two drops in the unemployment rate--in December 2013 and January 2014--have been explained by a drop in the labor force participation rate. So I can accept that a smaller labor force participation rate is not the same thing as a smaller unemployment rate. However, it does mean fewer people in the labor force, not fewer people unemployed as the article states. To be considered "unemployed," you have to be actively seeking work and these new sculptors, painters, and frog-farmers or whatever they're doing with they're newfound free time, are not actively seeking employment. Moreover, if these folks do not engage in productive activity while not in the labor force, then economic growth will undoubtedly suffer because one of the two main inputs to production (labor) has shrunk. You can't get any simpler of an economic explanation than that.

  • Report this Comment On February 10, 2014, at 6:12 AM, mako34 wrote:

    Thank you for such a great and informative article. I'm curious, though. Which member of the Obama Administration wrote it? Basically, anything positive the CBO stated about the Affordable Care Act is absolutely true. And anything negative was misstated, false, and/or misleading.

    I, for one, certainly appreciate the unbiased nature of this brilliant piece of writing. Thank you for helping me understand the basic and underlying truth about the ACA: Obamacare = Always Good. Anything opposed to Obamacare = misleading. I will stop questioning the Administration's authority now and obey, as I am being told to.

    I am so impressed by this fantastic piece of "journalism".

  • Report this Comment On February 10, 2014, at 6:23 AM, 12yogi wrote:

    1. Other options to not work. Who wants to work when you have to pay higher taxes, it is better and more profitable to go on welfare, get free health care and be totally supported by other peoples taxes.

    2. 8b payoff then receive 16b back from insurers, the another 250-450b back to insurers for risks taken. Somewhere this math is just too fuzzy, where will this 250-450b come from, higher taxes.

    3. Almost truth there will be more uninsured that before Obamacare.

    4. Fact there will be higher medical costs, rationed care, more people on welfare, less people working, higher taxes and insufficient medical staff to care for those on the Obamacare insurance networks. Net loss trillions of $.

  • Report this Comment On February 10, 2014, at 7:33 AM, jrquick1 wrote:

    It's funny seeing all the comments mentioning koolaid, coming from conservatives who think the universe is 6000 years old. Some even mention the word uneducated. Now THAT's funny.

  • Report this Comment On February 10, 2014, at 9:18 AM, DevonShire123 wrote:

    Will Obamacare kill you all? Here's the Media smoke screen behind the truth, the lies behind the half-truths. You're all F--ed, but buy it anyway. Think what we tell you. Go back to sleep.

  • Report this Comment On February 10, 2014, at 10:07 AM, TheBeast wrote:

    Obama and all you fools havent seen enough of this garbage yet to make you understand that this is not working. For all you that say it's better then what we have now, we dont have it anymore so get with current events. And for all the ones that dont understand that America was built on the back of WE THE PEOPLE and not the government are sadly lost. Smaller government would save trillions. Why arent we starting there? Why hasnt that ever happened? This isnt that hard to do and it would do more good the this lie. Vote Dems and Rep out of office and lets find people that can get along in government. THEIR NOT DOING THEIR JOBS! And if we didnt do our job we would be replaced. Why arent they?

  • Report this Comment On February 10, 2014, at 10:08 AM, dbb1031 wrote:

    Since when to the MF turn into a shill for Obama.............the fact is with lower employment there will be fewer taxes.......fewer taxes means larger deficits.....especially given the billions in Obama welfare ............6 trillion dollar a year deficits will cause the dollar to crash.......you can then be healthier because will get exercise and lose weight standing in a bread line........want to fix healthcare........get the government AND insurance OUT OF IT.

  • Report this Comment On February 10, 2014, at 10:08 AM, les49er wrote:

    Keith I actually wish you would give us more technical information but I understand why it doesn't matter. I read most of the comments and it appears the rabid right wingers have taken over your website. More hate and ugliness spewed out but not one comment about the investment advice. But then again it's a lot easier to be negative than positive. Something right wingers seem to cling to. It appears that this mess will be Obama's Iraq. Sad for our country. I just wished the Republicans would have worked on a competitive plan instead of just spending all that time trying to repeal it. I believe it can still be modified for the good of the country.

  • Report this Comment On February 10, 2014, at 11:21 AM, mindflea wrote:

    The rest of the civilized world has socialized health care and we are still here, paying less than half (per capita) for better healthcare than the US.

    Reading these comments you'd think this was the beginning of an apocalypse.

    Quit being so dramatic. You're like a bunch of grade school girls freaking out over a fart.

    In 10 years 90% of you will appreciate the system and it will be hard to find even 1 in 10 that would go back. Give it time, healthy people work harder and pay more taxes - true story.

  • Report this Comment On February 10, 2014, at 12:01 PM, Albert0Knox wrote:

    Funny to read comments here. People just refuse to hear that which the "know" to be wrong, without stopping to consider HOW they "know" it. quickly comments turn to Shoot-The-Messenger!

    The world has few black and white truths. to be a successful investor one should also be a realist, not an ideologue. Stop from time to time and examine your motives, examine your core beliefs. Use rigorous rational thought. doubt those who give you easy answers. You may be surprised with the opportunities you find.

  • Report this Comment On February 10, 2014, at 5:03 PM, jojodogface wrote:

    Strange- "liberals" usually love statistics.

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