As the evidence rolls in about how damaging the ACA (Obamacare) is to the well-being of rank and file workers, I hope¬†that those of us in the staffing industry whose businesses are benefitting from it ‚Äď agencies, software companies, insurers ‚Äď stand nevertheless against it
Obamacare is shrinking the American economy according to new analyses by leading economists from Harvard and the University of Chicago.
According to Greg Mankiw, Chair of Economics at Harvard University, "Given that labor income was already taxed by income and payroll taxes, that figure¬†indicates the return to working fell by about 10 percent.¬†If we apply a plausible¬†aggregate labor supply elasticity of 0.5, this in turn suggests a¬†decline in labor supply of about 5 percent.¬†In the¬†long run, as the capital stock adjusts, a fall in labor supply leads to a proportionate fall in output.¬†So we end up with a 5 percent fall in long-run¬†potential output."
According to University of Chicago economist Casey Mulligan, "With this week's federal announcement that millions of middle- and low-income people are getting a surprisingly large number of taxpayer dollars attached to their participation in the Obamacare health plans, can we begin to take seriously the idea that the fiscal policies and regulations hidden in the Affordable Care Act are shrinking our economy?"
As the evidence rolls in about how damaging the ACA (Obamacare) is to the well-being of rank and file workers, I hope¬†that those of us in the staffing industry whose businesses are benefitting from it - agencies, software companies, insurers - stand nevertheless against it.