California confirms an untenable open borders, welfare state nightmare
California wants to be both an open borders, sanctuary state and a welfare haven of redistribution and free stuff. It will have to choose one.
The Golden State is running a significant but unstable surplus that even Gov. Gavin Newsom concedes is contingent on the nation's unprecedented economic growth and stagnating spending. Naturally Newsom, the state assembly, and the state Senate are all scrambling to outspendeach other in their various plans to pay for health insurance for illegal immigrants.
Their plans aren't just a theoretical disaster or even a plain moral one. In practice, these proposals would devastate California's already strained healthcare market and exacerbate the collapse of Medi-Cal, the state's public health insurance plan.
Newsom wants to spend nearly $100 million on covering low-income illegal immigrants from age 19 to 26. The state Senate wants to cover those illegal immigrants plus those over the age of 65. The state assembly wants to cover all illegal immigrant adults to the tune of $3.4 billion. (The state already has everyone eligible under the age of 19, citizen or not, to be covered by Medi-Cal.)
This is a bad idea on principle. Giving free stuff to illegal immigrants who fail to pay into the system confirms every worst nightmare of even the most libertarian leaning of those an inch to the right of Joe Biden. In the long run, it will likely create the untenable problem of too many people milking California's tax revenue, not enough paying in, and just enough continuing to flee the state as the budget demands further tax hikes on the states jobs creators.
But this is an abysmal idea in practice, and not in the long run, but immediately.
California already faces a shortage of doctors, in part because of of the state's generous health insurance coverage. Medicare reimbursement rates across the country run some 40% lower than that of private insurance. Medi-Cal's reimbursement rate average to about half of that of Medicare. As a result, just 6 out of every 10 doctors in the state accept Medi-Cal.
There are 1.8 million uninsured illegal immigrants in California. If the Senate proposal passes, that's lumping an extra 1.8 million into the Medi-Cal risk pool, asking the dwindling pool of doctors in the state to accept 1.8 million more patients with reimbursement rates tantamount to theft, and inevitably crowding out the millions of legal citizens already covered by Medi-Cal who will struggle even further to find doctors who will see them.
The healthcare market is already broken. Prices aren't responsive to any sort of consumer demand, and expanding the state's power as a price-setter will only exacerbate the issue and encourage existing doctors to leave the state and potential ones to choose other career fields. Given that California will face a shortage of more than 8,000 primary care physicians by 2030, this is, suffice it to say, a bit of a travesty in the making.
The countries with healthcare systems idolized by the socialist wing of the Democratic party, such as Sweden, have had to stringently tighten their borders to remain solvent. Ones that haven't, like France and Finland, have seen riots in the street or governmental collapse as the spending issue becomes untenable. You cannot have open borders and unlimited welfare. The case of California may posit an extreme, but it still follows the rule, not an exception, of a mutually exclusive dichotomy of left-wing dreams.
https://www.washingtonexaminer.com/opinion/california-confirms-an-untenable-open-borders-welfare-state-nightmare