Empire of Illusion - Chris Hedges [86]
“There isn’t an enforcement mechanism,” Geyman says bluntly. “Most states have been unable to control rates or set a cap on rates.”
“The only way everyone will get insurance is with national health insurance,” says Woolhandler, who is a professor at Harvard Medical School. “People with catastrophic illnesses usually lose their jobs and lose their insurance. They often cannot afford the high premiums for the insurance they can get when they are unable to work. Most families that file for bankruptcy because of medical costs had insurance before they got sick. They either lost the insurance because they lost their jobs or faced gaps in coverage that meant they could not afford medical care.”
Our health system costs nearly twice as much as national programs in countries such as Switzerland. The overhead for traditional Medicare is 3 percent, and the overhead for the investment-owned companies is 26.5 percent. A staggering 31 percent of our health-care expenditures is spent on administrative costs. Look what we get in return. And yet the reality of the health-care system is never discussed because corporations, which fund the main political parties, do not want it discussed.
The Democratic Party has been as guilty as the Republicans in the abdication of real power to the corporate state. It was Bill Clinton who led the Democratic Party to the corporate watering trough. Clinton argued that the party had to ditch labor unions, no longer a source of votes or power, as a political ally. Workers, he insisted, would vote Democratic anyway. They had no choice. It was better, he argued, to take corporate money and do corporate bidding. By the 1990s, the Democratic Party, under Clinton’s leadership, had virtual fund-raising parity with the Republicans. Today the Democrats raise more.
The legislation demanded by corporations sold out the American worker. This betrayal was accompanied with a slick advertising campaign that promoted the laws, used to destroy the working class, as the salvation of the American worker. The North American Free Trade Agreement was peddled by the Clinton White House as an opportunity to raise the incomes and prosperity of the citizens of the United States, Canada, and Mexico. NAFTA would also, we were told, stanch Mexican immigration into the United States.
“There will be less illegal immigration because more Mexicans will be able to support their children by staying home,” President Clinton said in the spring of 1993 as he was lobbying for the bill.
But NAFTA, which took effect in 1994, had the effect of reversing every one of Clinton’s rosy predictions. Once the Mexican government lifted price supports on corn and beans grown by Mexican farmers, those farmers had to compete against the huge agribusinesses in the United States. Many Mexican farmers were swiftly bankrupted. At least 2 million Mexican farmers have been driven off their land since 1994. And guess where many of them went? This desperate flight of poor Mexicans into the United States is now being exacerbated by large-scale factory closures along the border as manufacturers pack up and leave Mexico for the cut-rate embrace of China’s totalitarian capitalism. But we were assured that goods would be cheaper. Workers would be wealthier. Everyone would be happier. I am not sure how these contradictory things were supposed to happen, but in a sound-bite society, reality no longer matters. NAFTA was great if you were a corporation. It was a disaster if you were a worker.
Clinton’s welfare reform bill, signed on August 22, 1996, obliterated the nation’s social safety net. It threw 6 million people, many of them single mothers, off the welfare rolls within three years. It dumped them onto the streets without child care, rent subsidies, or continued Medicaid coverage. Families were plunged into crisis, struggling to survive on multiple jobs that paid $6 or $7 an hour, or less than $15,000 a year. And these were the lucky ones. In some states, half of those dropped from the welfare rolls could not find work. Clinton slashed Medicare