The Institute for New Economic Thinking's Thomas Ferguson Discusses Congressional Realities That Explain Passage of the "One Big Beautiful Bill Act"
Last week’s signing of the OBBBA serves as federal policymakers’ latest reverse Robin Hood effort, or to redistribute wealth from the poor to the rich. Per a February RAND report, over the past 50 years $79 trillion in wealth has been redistributed from the bottom 90% of Americans to the top 1%. The 2017 Trump tax cult left billionaires $6 trillion richer and the OBBBA, otherwise termed the Bill for Billionaires Act, is expected to achieve similar of not greater results largely because the number of billionaires has dramatically increased to nearly 2,000 over the past decade. The legislation is (partially) offset moreover by cutting Medicaid spending by upwards of $1 trillion that is expected to lower Medicaid enrollment by 11 million and cause 17,000 premature deaths annually. SNAP spending will be reduced $300 billion leaving three million even more hungry. The bill will add an estimated 3.8 trillion to the deficit, atop the $8.4 trillion left by the first Trump administration. Financing the deficit that approximates $1 trillion annually represents more than the DoD’s budget or money that could be spent on other things - like healthcare. Largely because of increasingly regressive tax policies and unaffordable healthcare, studies conclude the bottom 60% of US households by income are unable to achieve what is s defined as a "minimal quality of life" or one in which families can afford adequate housing, healthcare, child care and food. See these two related research efforts by Prof. Ferguson, “Political Investments” at: https://www.phenomenalworld.org/interviews/thomas-ferguson/ and Ferguson, et al., “How Much Can the US Congress Resist Political Money?” at: https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3593916. This is a public episode. If you would like to discuss this with other subscribers or get access to bonus episodes, visit www.thehealthcarepolicypodcast.com