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Subject: Paul Ryan, The Path to Prosperity
CJH    5/27/2011 9:31:59 PM
Fiscal Year 2012 Budget Resolution "The current path – which the President’s irresponsible budget commits us to – will result in a debt-fueled economic crisis, the shredding of the safety net, and a diminished future. Americans deserve better than empty promises from a government going broke. The budget advanced by the House Budget Committee ensures real security through real reform. The House Budget Committee’s FY2012 Budget Resolution helps spur job creation today, stops spending money the government doesn’t have, and lifts the crushing burden of debt. This plan puts the budget on the path to balance and the economy on the path to prosperity. ECONOMIC GROWTH AND JOB CREATION: Fosters a better environment for private-sector job creation by lifting debt-fueled uncertainty and advancing pro-growth tax reforms. SPENDING CUTS AND CONTROLS: Stops Washington from spending money it does not have on government programs that do not work. Locks in spending cuts with spending controls. REAL SECURITY: Fulfills the mission of health and retirement security for all Americans by making the tough decisions necessary to save critical health and retirement programs. PATIENT-CENTERED HEALTH CARE: Repeals and defunds the President’s health care law, advancing instead common-sense solutions focused on lowering costs, expanding access and protecting the doctor-patient relationship. RESTORING AMERICA’S EXCEPTIONAL PROMISE: Tackles the existential threat posed by rapidly growing government and debt, applying the nation’s timeless principles to this generation’s greatest challenge. Ensures that the next generation inherits a stronger, more prosperous America" Health care / Medicare "Washington has not been honest with you about Medicare. Medicare is a critical program which helps seniors achieve health security. But the truth is it’s headed for a painful collapse. We can save Medicare, but we have to reform it so that it delivers the high quality we expect, at a price we can afford. Let’s take a look at: what’s going on now; why it’s happening; and how we can save and strengthen this program. The average American household spends nearly 50 times more on health care today than it spent in 1960. This translates into health care costs of more than $25,000 per US family, every year. As a result, health care spending has gone from consuming just five percent of our economy to nearly one-fifth of our entire economy today. While a lot needs fixing in health care, independent experts agree Medicare is a top driver of these unsustainable costs. If we do nothing, Medicare spending will nearly double over the next decade, exhausting its remaining funds. Here’s why: More than 75 percent of Medicare recipients, which is 35 million people, receive what’s called the fee-for-service insurance plan. Here’s how it works: A Medicare patient goes to the doctor and receives health care services. The doctor sends the bill for these services to Medicare, and Medicare reimburses the doctor -- with your tax dollars and borrowed money -- no questions asked. This system increases costs and decreases quality for two reasons: First, as you can see, the patient is very disconnected from the cost. We all pay for Medicare, through taxes or, if you’re a Medicare patient, through premiums. But the true cost is hidden from the Medicare patient because someone else pays the actual bill. When we pay directly for something, and we know how much it costs, we have a strong incentive to demand the best value. In health care, we don’t. The second reason costs are going up and quality is going down is that fee-for-service Medicare insurance has no competition -- so it reimburses all doctors and hospitals the same, even if the quality of the care they provide is poor, and the cost of their care is high. Meaning that there is little financial incentive for doctors and hospitals to deliver the best care at the lowest price." "How We Can Save Medicare There is another, better approach. The House-passed budget – The Path to Prosperity – saves Medicare for current seniors and strengthens it for future generations. Those in or near retirement should not be forced to reorganize their lives because of government’s mistakes. That’s why our budget ensures no changes for those 55 years old or older. But for current taxpayers and future generations, we need real reform. Rather than putting the government in charge, our plan provides financial support to help future Medicare patients pay for the insurance plan that works best for them and their families. Patients will have the freedom to choose from a list of guaranteed coverage options – the same kind of system members of Congress enjoy today. And insurance providers, competing for patients’ business, will look to lower the costs and increase quality for
 
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