Skip Navigation
Derek Thompson

Derek Thompson - Derek Thompson is a senior editor at The Atlantic, where he oversees business coverage for the website.
More

He is a visiting research fellow at the Committee for a Responsible Federal Budget at the New America Foundation. Derek has also written for Slate, BusinessWeek, and the Daily Beast. He has appeared as a guest on radio and television networks, including NPR, the BBC, CNBC, and MSNBC.

White House: Health Care Reform Would Cut Deficit by Third

By Derek Thompson
Jul 9 2010, 2:00 PM ET Comment

White House budget director Peter Orszag takes to his blog to brag a bit about health care reform:

Last year, CBO put the 75-year fiscal gap at about 8 percent of GDP; this assumes current policies -- such as the 2001/2003 tax cuts, relief from the Alternative Minimum Tax, and a fix to the Medicare physician payment system -- are continued. The figures above suggest that if fully implemented, the Affordable Care Act would reduce this by about one quarter to one third, or to roughly 5 to 6 percent of GDP.

Hooray! On the other hand, if we stopped patching the Alternative Minimum Tax, we would shave $480 billion -- or three percent of GDP -- off our fiscal gap. This is not an argument against the ACA, but "if fully implemented" is a contentious phrase.

Increase your short-term procrastination by 3 to 4 percent by reading the full story at the OMB blog.

Presented by

More at The Atlantic

The New Welfare State: Faster, Cheaper ... and Out of Control? The New Welfare State: Faster, Cheaper ... and Out of Control?
The Brash Hypocrisy of Lanny Davis This Man Represents Everything Wrong in Washington
The New Economics of Happiness The New Economics of Happiness
The Controversial German Book Linking the Euro to Holocaust Guilt Holocaust Guilt Is to Blame for the Euro
How One Mother's Story Helped Change Obama's Gay Marriage Stance How A Mother's Story Changed Obama's Gay-Marriage Stance

Join the Discussion

After you comment, click Post. If you’re not already logged in you will be asked to log in or register.
blog comments powered by Disqus

Just In

View All Correspondents

The Biggest Story in Photos

Where in the World? Part 3: A Google Earth Puzzle

May 25, 2012

Subscribe Now

SAVE 59%! 10 issues JUST $2.45 PER COPY

Facebook

Newsletters

Sign up to receive our free newsletters

(sample)

(sample)

(sample)

(sample)

(sample)

(sample)