Health Care, and the 16 Percent of GDP Canard

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By Douglas A. McIntyre Published
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John Tamny from Forbes
 
Nowhere in the Constitution is health care mentioned as something the federal government has the power to oversee. Yet politicians in both political parties pay varying degrees of lip service to the notion that the U.S. health care system is broken and that the allegedly bright minds who populate Congress should manage its overhaul with an eye on cheaper care. A scarier thought would be hard to fathom.

At the same time, one argument made against reform–as though Congress’ poor track record with other “reforms” isn’t enough reason for lawmakers to leave it alone–is that with health care compromising 16% of gross domestic product, reform here could be particularly harmful to the broader economy. Allowing for the near certainty that any reform coming out of Washington would weaken the delivery of the health product, it should be noted that the “16% of GDP” canard is one of the weaker arguments for keeping the federal government at bay.

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Photo of Douglas A. McIntyre
About the Author Douglas A. McIntyre →

Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.

TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.

McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.

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