Posted on 05/11/2017 5:48:52 AM PDT by lowbridge
Legendary investor Warren Buffett said that rising health care costs, not the tax system, is the number one problem that American businesses face.
“If you go back to 1960, or thereabouts, corporate taxes were about 4% of GDP, I mean they bounced around some. And now, they’re about 2% of GDP,” Buffett said during Berkshire Hathaway’s (BRK.A) (BRK.B) annual shareholders meeting. “At that time, health care was 5% of GDP, and now it’s about 17% of GDP.”
In Buffett’s view, this says a lot of what’s playing a bigger role in hindering business activity in the economy.
“When American business talks about taxes strangling our competitiveness, or that sort of thing, they’re talking about something that as a percentage of GDP has gone down from 4% to 2%, while medical costs, which are borne to a great extent by business, have gone from 5% to 17%,” he said.
“So, medical costs are the tapeworm of American economic competitiveness.” He added that health care will be problem that society will face, regardless of what political party is in power.
Republicans are pushing for a tax cut for people like Buffett
In terms of the American Health Care Act, the Republicans’ plan to repeal and replace the Affordable Care Act, Buffett said that the net effect if it should pass that it would be a big windfall for wealthier Americans.
“The one thing I can tell you, if it goes through the White House … anybody with a $250,000 adjusted gross income and a lot of investment income, is going to have a huge tax cut,” Buffett said. “When there’s a tax cut, either the deficit goes up or they get the taxes from somebody else.”
(Excerpt) Read more at finance.yahoo.com ...
The “conservative” Canadian businessman Conrad Black, a guy who knows El Rushbo and has been on his show, told a Canadian broadcaster (TV Ontario) earlier this year that “a universal healthcare system” would be a success in a Donald Trump presidency.
The “conservative” Canadian businessman Conrad Black, a guy who knows El Rushbo and has been on his show, told a Canadian broadcaster (TV Ontario) earlier this year that “a universal healthcare system” would be a success in a Donald Trump presidency.
“When there’s a tax cut, either the deficit goes up or they get the taxes from somebody else.”
Not if you cut expenses and/or revenue goes up.
They never suggest the Government do with less.
Buffet is right about the numbers but he fails to mention the cause , government involvement in healthcare... Buffet doesn’t care about the quality of healthcare , just the cost .. that’s how he justifies spending $2Billion to pay for murdering babies out of his pocket.
You think inflation may be to blame? The utter debasement of the dollar?
In 1970, we paid a grand total of $400 for prenatal care, C-section with a 5 day stay, and post-natal care.
The hospital bill was $345.
My DIL’s relatively uncomplicated pregnancy and delivery was just shy of $9,000. Some of her friends have been socked with much higher bills for uncomplicated care.
Actually, people who buy up most railroad tank car shipping capacity, and then use unjust political influence to stop building of pipelines are far worse tapeworms.
“Republicans are pushing for a tax cut for people like Buffett.”
Mmmmk.
Nationalize everything, then you don’t have wasteful expenditures on competition.
Gosh I wonder why costs in veterinary medicine are not shooting through the roof.
or another one:
I wonder why dental costs are not completely unaffordable huh.
what is it about those two that’s different from ordinary Health Care..?
and there’s our answer.
Guys like Buffet thought they were getting a great deal with the idea that employer-paid medical insurance would be tax deductible so it would really be paid for by government. Rather than admit he erred, he wants even more advantages at someone else’s expense.
The tax system is not a problem for Buffett because he hardly pays any taxes. He is not working for a big salary. Rather, his income is derived primarily from lower long term capital gains, so of course he can claim that our tax system is not a problem for HIM.
Why the hell doesn’t the Medical Profession point out that the HIGH COST of health care is due to their ability to keep people ALIVE and Functioning.
In the “good olde days” you simply died, as nothing could be done for you. There were no million dollar high-tech machines that allowed the doctor to see inside. There was no cost for medical technicians that did not yet exist.
How many people reading this lost relatives years ago that are now “cured” by a 3 day trip to the hospital and a quick surgical repair.
People speak of the lower cost of health care 40 years ago, but would they like to return to the “healh care” of 40 years ago? I doubt it.
Right. If medical costs are the tapeworm in the economy, government interference is the tapeworm in medical costs.
Huh? I'll concede that this segment isn't as afflicted as human care, but the price of most veterinary services is outrageous.
You have identified the actual problem.
Buffet and his type are finding it harder to hide their devious ways. I can’t wait until we actually line up against the real enemies of this country. The day of reckoning is coming.
Buffett has many advantages over the average investor, and even most professionals. He has unfettered access to business leaders and politicians. With that kind of an edge its no wonder he can outperform everyone else. Also, he is able to cut special investment deals that few people can even dream of.
Buffet, Berkshire Hathaway, owns the Marmon group which has a division that produces railroad tank cars.
http://www.marmon.com/union_tank_car_company_bc.html
Price fixing and illegal collusion are at the heart of being healthcare costs. Until that is addressed, it doesn’t matter who is paying.
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