Warren Releases 'Medicare for all' Plan Calling for $9 Trillion Tax On Employers
Presidential hopeful publishes long-awaited funding plan
Presidential hopeful Elizabeth Warren released her highly anticipated "Medicare for all" funding plan after caving to pressure from Democratic rivals about how to fund such a system, not using middle-class tax hikes.
The plan, which was published Friday, would raise $20 trillion in taxes on employers, giant corporations, financial firms, and the top 1% of earners, which would also include $2.3 trillion by cracking down on tax evasion.
The Warren campaign estimates the federal government will need to spend and additional $20 trillion to get "Medicare for all."
But Warren says she can achieve this through savings over time and by reducing administrative costs, paying providers less, and by redirecting health care spending from state governments.
Warren said in a Medium post detailing her payment plan:
“We don’t need to raise taxes on the middle class by one penny to finance Medicare for All."
Moreover, she estimates that because people will no longer be contributing to premiums in their paychecks they will be better off.
Instead, she claims people will be taking home more money, and that would, in turn, help raise $1.4 trillion.
According to the plan estimations, employers will spend $8.8 trillion over ten years to the federal government as an "Employer Medicare Contribution," which would be the same as what employers pay employees health insurance now.
The plan also includes cuts to military spending and savings via immigration reform.
Warren's campaign admits that overall healthcare spending would increase to $52 trillion over ten years.
George Soros: Warren is 'Most Qualified to Be President'— Neon Nettle (@NeonNettle) October 26, 2019
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But the plan is likely to be greeted by a backlash by the industry, which claims it will face e major closures under "Medicare for all," resulting in patients losing access to care.
On Thursday, Warren admitted the Medicare-for-All health care plan could result in the loss of two million jobs, agreeing with a University of Massachusetts-Amherst economist's conclusions.
Warren referred to the potential loss of jobs as "part of the cost issue."
Robert Pollin of UMass' Political Economy Research Institute said that the majority of the job losses would affect administrative positions - about half among insurers, and a half in hospitals and doctors' offices, according to Kaiser Health News.
"So, I agree," Warren admitted.
"I think this is part of the cost issue and should be part of a cost plan."
"Although do recognize on this what we're talking about, and that is in effect, how much of our health care dollars have not gone to health care?" she added.