Econ. Lesson #1 – Nothing Is Free
Especially In Hawaii
Somebody sold the politicians in Hawaii a pig in a poke, or perhaps, a big load of BS. The politicians bought it.
Seven months after launching Keiki Care, a flood of enrollments caused it to run over budget. The social engineers in Hawaiian government just learned a lesson about free-market economics and the effect of government distortion
Taxpayers didn’t get this for free. They paid for it with their taxes. Keiki Care took taxes and directed it into creating a universal health-insurance program for children, and apparently didn’t set any income requirements for entry. Why wouldn’t the taxpayers whose money funded the risk pool take advantage of it?
Ed Morrissey quotes from The Corner:
“People who were already able to afford health care began to stop paying for it so they could get it for free,” said Dr. Kenny Fink, the administrator for Med-QUEST at the Department of Human Services. “I don’t believe that was the intent of the program.”
Gee. Ya think?
Tune in next time when we discuss the notion that businesses never pass their increased taxes on to the customer.
Addendum: More economic illiteracy from CNN’s Campbell Brown.