Obama Moves Forward With Health Care Reform

President Barack Obama outlined the case for health reform Monday, describing the current health care system as ‘unsustainable’ and detailing how the U.S. will fund the expenditure.

“If we fail to act, one out of every five dollars we earn will be spent on health care within a decade,” said Obama during a speech to the American Medial Association. “As clear as it is that our system badly needs reform, reform is not inevitable.”

Obama conceded that reform is expected to be costly, predicting that health insurance for the entire U.S. population will require approximately $1 trillion, The President stated however that it was vital to prevent the loss of additional trillions through lowered wages and stunted economic growth.

To offset the plan’s high cost, Obama announced a number of mitigating steps, including eliminating Bush’s tax cuts for wealthy Americans, cutting wasteful spending in the Medicare program and authorizing the creation of generic biologic drugs. The 2009 budget set aside $635 billion in what was been called the Health Reserve Fund. The fund is intended to be spent within the following decade.

A public option is slated to be a key component of the plan.

“What a public option will help do- is put affordable heath care within the reach for millions of Americans…That way, there will be no reason at all for anyone to remain uninsured,” said Obama.

The President confronted criticism that has been levied against the administration’s health care reform plan in recent weeks.

“If you like your doctor, you will be able to keep your doctor. Period. If you like your health care plan, you will be able to keep your health care plan. Period. No one will take it away,” Obama explained.