Expert: Doubling All Income Taxes Still Wouldn't Pay for Medicare For All | NTK Network Expert: Doubling All Income Taxes Still Wouldn’t Pay for Medicare For All

Expert: Doubling All Income Taxes Still Wouldn’t Pay for Medicare For All

"Doubling all currently projected federal individual and corporate income tax would be insufficient to finance even the lower bound estimate of $32.6 trillion..."

By NTK Staff | 04.30.2019 @2:50pm

Senior Research Strategist at the Mercatus Center at George Mason University, Charles Blahous, told the House Rules Committee on Tuesday that “doubling all currently projected federal individual and corporate income tax would be insufficient to finance” Medicare for All.

“Medicare for All would add somewhere between $32.6 trillion and $38.8 trillion in new federal budget costs over the first ten years. The $32.6 trillion estimate is a lower bound estimate. It essentially assumes every cost containment provision in the bill saves as much as possible,” Blahous said. “If instead things play out most consistently with historical trends, the new federal cost would be closer to $38.8 trillion.”

“Now obviously such enormous numbers are very difficult to grasp. We’re talking about 11 to 13 percent of GDP in 2022, rising to 13 to 15 percent of GDP in 2031 being added to the federal ledger,” he added.

Blahous then said that America does not have “historical experience with permanent government expansions of this size.”

“So, to provide a sense of the magnitudes, the study notes that doubling all currently projected federal individual and corporate income tax would be insufficient to finance even the lower bound estimate of $32.6 trillion,” he said. “Now, to be clear, these would not be the total costs of Medicare for All. These would the federal government’s net new cost above and beyond currently projected federal health obligations.”

“Total federal spending on Medicare for All over the first ten years would be somewhere between $54.6 trillion and $60.7 trillion,” Blahous said.

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