Here's the Forbes article on the CBO report: CBO: Obamacare Is A Tax On Work, May Cut Full-Time Workforce By 2.5 Million
A snippet of that article:
In its new budget outlook, CBO very clearly states that Obamacare amounts to an implicit tax on work and workers that will reduce employment by as much as 2.5 million jobs over the next ten years.I'd encourage you to go read the rest.
Here’s how the CBO arrives at its new conclusion:
As workers transition from part time work (without benefits) to full time work (with health benefits) many workers will actually lose income in the form of the subsidies that they will have to forgo (and the additional fact that lower wage workers, who are in lower tax brackets, won’t benefit as much from the implicit subsidy they will get from the special tax treatment of health benefits bought at work). CBO seems to focus mostly on people who are out of the labor force for a period of time and transitioning back to full time work, which suggest its estimates may be low.
CBO states, in reference to these impacts, that the “exchange subsidies effectively constitute a tax on labor supply for a broad range of workers.” CBO focuses mostly on those transitioning to full time work (with benefits). But the same disincentives apply to workers on Obamacare who are already employed full time, and looking to grow their income.
Translation? The old employer sponsored system forced people to stay in jobs they didn’t like because they needed the health insurance coverage. The new Obamacare system will force people to stay out of jobs they do want because they need to maximize their subsidies. And this is social progress?
So, how does White House press secretary Jay Carney respond?
“Opportunity created by affordable, quality health insurance allows families in America to make a decision about how they will work, or if they will work.”Carney approves of the idea that families in America can make a decision not to work. Where would the money to support those families come from? From you of course. Surely the average family would have no trouble supporting 2-3 more families that choose not work, right? Oh, wait. I know I can barely support my own, let alone plan for retirement. Carney, how about you don't volunteer me to support people who choose not to work?
Syndicated columnist Charles Krauthammer thinks Carney's Obamacare comment "Will Be Emblazoned on the Tombstone of Liberalism." See his full comments here. I'm not quite so optimistic, but I can hope he's right.