Thursday, February 9, 2012

EducationCare ~ A Hypothetical History

Once upon a time, there was a President named Franklin Roosevelt. He imposed wage and price controls upon industry during the inflationary years of World War II. But companies needed workers. They couldn't attract anybody with the capped wages, so they put into effect a gimmick -- Free EducationCare.

Subsequently, the Federal Government began to exempt education benefits from taxation. Thus, people became dependent upon their employer for the education of their children. If they lost their job, they then lost their insurance, and their kids couldn't go to school. It was too expensive.

The premiums for Education Insurance were based on pre-existing conditions. If the person had children, this then meant insurance rates of $500 per month. If the person was childless, then the premiums were only $100 per month. The insurance policies were very generous -- unlimited free education for children AND adults.

In the 1960's, President Lyndon Johnson signed into law SpryCare and SorryCare. The former was single-payer, government insurance for spry seniors wanting college education. The latter was a state-federal partnership of providing EducationCare for the sorry folks that are poor.

As a result of these government programs, education costs skyrocketed. People (without good jobs) who didn't qualify for SpryCare or SorryCare were out of luck. Their children couldn't go to school.

Then during the new century, thanks to Mitt Romney and Barack Obama, the government decided to impose an individual mandate to FORCE all Americans to buy EXPENSIVE "education insurance." Liberals screamed, because they wanted single-payer EducationCare. The Tea Party screamed, because they hated the insurance mandate.

As a result of the groundbreaking "reform" legislation, the insurance companies were no longer allowed to discriminate people by their pre-existing conditions.  Therefore, single people now had to pay just as high premiums as families with children. But an allowance was made for age. Since younger people are more likely to go to school, their premiums are allowed to be three times higher than people in their 50's.


The above scenario exemplifies DEMAND-side, insurance-mandated EducationCare. It is a failed model and does not work. (Just look at HealthCare.)

1 comment:

  1. Why is it that you can could bet on, surely as the sun rises tomorrow, government doing the exact precise wrong thing? Not just our government, but most governments! hmmmmm.