Rep. Bachmann Lies, Claims Health Care Will Kill Jobs
During a January 20, 2010 floor speech, Rep. Michele Bachmann falsely claimed President Obama's economic adviser Christina Romer stated that health care reform would kill 5.5 million American jobs. In reality, Romer never said such a thing. Data shows health care reform would create 400,000 jobs AND reduce the deficit.
Rep. Bachmann's Bad Math
Rep. Michele Bachmann:
President Obama's chief economic adviser Christina Romer said herself that if President Obama's plan would go into effect, that America would see five and a half million if we adopt his plan. Not only would it cost us trillions of dollars that we simply don't have, but it would cost us five and a half million American jobs. [Bachmann Floor Statement, 1/20/10]
Christina Romer Said No Such Thing
PolitiFact.com rated Bachmann's claim, which has been repeated by multiple Republicans, FALSE.
Republicans' Analysis "Problematic And Contrary To How Obama's Economic Adviser Said The Model Should Work." According to PolitiFact.com, "Obama's economic adviser - Christina Romer, chair of the White House Council of Economic Advisers - has never said that a tax in the health care bill would cost up to 5.5 million jobs. Republicans have used her 2007 research to develop a calculation for job losses for any type of tax increase. If you have a number for tax revenues generated, then this model will give you a number of jobs lost. But there are factors that make this type of analysis troublesome when it comes to the health care bill. Romer's 2007 research, for example, said that tax increases that fund spending for social programs tend to balance out, and economic growth stays on an even keel. Another problem is that the Republicans take tax increases that happen over 10 years and treat them as if they happen in one year, which inflates the numbers of jobs that might be lost. Finally, this particular Republican analysis includes more taxes than just the surtax of page 336; it also includes the employer mandates of page 313. We find this analysis to be problematic and contrary to how Obama's economic adviser said the model should work." [PolitiFact.com, 11/4/09]
Health Care Reform Will Create 400,000 Jobs In 10 Years
Health Care Reform Could Create Up To 400,000 Jobs Within The Next 10 Years. According to the Center for American Progress:
Clearly, health care reform that reduces premium growth is economic policy as well as health policy. The reform goals of a healthier America are well understood. In this paper, however, we demonstrate a less emphasized point about the health care reform legislation currently before Congress-if successful, its provisions can lower the costs of business and increase both the number of jobs by 250,000 to 400,000 annually over the next decade and increase wage growth.
Health care reform that includes even more robust measures to contain health care costs could further enhance job creation. In an economy that has lost 5 million jobs in the past year and where wages have stagnated for many years, this is a strong reason to pass health care reform that contains growth in health care costs and modernizes the U.S. health care system. [Center for American Progress, New Jobs Through Better Health Care, January 2010; emphasis added]
Health Care Reform Would Reduce Deficit By Over $132 Billion
CBO: "The Patient Protection And Affordable Care Act Would Yield A Net Reduction In Federal Deficits Of $130 Billion." According to the Congressional Budget Office: "CBO and JCT estimate that, on balance, the direct spending and revenue effects of enacting the Patient Protection and Affordable Care Act would yield a net reduction in federal deficits of $130 billion over the 2010-2019 period." [CBO, 11/18/09]
Health Care Reform Is "An Economic Necessity"
Romer: "Health Care Reform Is An Economic Necessity." On June 2, 2009, White House economic adviser Christina Romer wrote, "Health care reform is more than a social imperative - it is an economic necessity. A new study by the President's Council of Economic Advisers demonstrates that the current American health care system is on an unsustainable path. Without health care reform, American workers and families will continue to experience eroding health care benefits and stagnating wages caused by the pressure of escalating health insurance premiums. And without reform, rising spending on Medicare and Medicaid will lead to massive and unsustainable Federal budget deficits." [Romer op-ed, Yahoo! News, 6/2/09]
Romer: Health Care Reform Will "Allow Lower Unemployment." On June 2, 2009, White House economic adviser Christina Romer wrote, "Controlling health care cost growth would allow lower unemployment in the short and medium run, without putting pressure on inflation. Employment could be 500,000 higher for a number of years." [Romer op-ed, Yahoo! News, 6/2/09]
