A wild theory about why we couldn't have a public option.

[JDPriestly]

OK. I admit I love thinking up crazy conspiracy theories. Try this one on for size.

Public pension funds are invested in all kinds of stocks and bonds, and I suspect that many of those stocks and bonds are in private insurance companies. That is why the Congress cannot bring itself to seriously control the profits of those companies.

Now, I don't know to what extent health insurance companies are tied into the whole insurance/re-insurance web. But I do know that the insurance/re-insurance web is very tangled and very big.

The public pension funds (to say nothing of union pension funds) in this country are a huge source of investment money. And I will bet you but do not know for a fact that a good portion of that pension investment money is invested directly and indirectly in insurance corporations and specifically health insurance corporations.

Such investments are just the kind of "socially beneficial," i.e., politically correct, investments that the managers of public pension funds would like. Housing and mortgages were other such "socially beneficial" investment. The housing and mortgages kind of let investors including big investors like pension funds down.

So, the number of "socially beneficial" investments available out there has decreased. To cut back on the profits of health insurance and other insurance companies at this time would hit the pension funds really hard. If you are on a government or union pension, you may have already suffered cuts.

Those of you in these complex pension systems, just remember next time you get that pension check or retirement fund statement that somebody somewhere is paying a little more for health insurance and a lot of other things so that you can get a fatter check.

You worked for your pension. You earned it. You deserve it. But it doesn't come out of nowhere. Check my theory. Ask your pension fund where your money is invested.

[Ruby the Liberal]

1. Good connection.

Makes sense to me.

[Ozymanithrax]

2. Of course, i just might be that they didn't have the votes to pass it...

Nahh, that is too simple an answer.

[MineralMan]

4. No, that can't be it. The fix was in.

[AngryAmish]

3. that is a good one

Don't buy it but very pleasing.

[Laelth]

5. That's not a bad theory.

Lots of money is invested in insurance companies, and a lot of it is pension money.

There's no doubt that any bill that hurts insurance companies will hurt those investors. No doubt.

I say, too bad. Those investments are going to have to take a hit if we are ever going to get away from the "health care for profit" model we have now. The health insurance companies are vampires, and we should have never let them become for-profit enterprises in the first place. It will be costly to correct that mistake, but I'd rather pay the price now ... as opposed to strengthening the health insurance companies and making it that much harder to correct this error later.

Kill the bill.

Forcing people to buy insurance is no more the answer to a failed health care system than forcing people to buy houses is the solution to homelessness.

:dem:

-Laelth

[AwakeAtLast]

6. If I could give this +50 recs I would

because I think you have hit the nail on the head.

[Hippo_Tron]

7. Also, insurance companies employ a lot of people

The mistake people make in assuming that because the system is designed to only benefit the elites in the long run, is that they think the masses ought to be automatically against the status quo. The thing is that the masses have a stake in the status quo and even if it is a small stake people are a lot more motivated by fear of loss than the possibility of what they could gain.

[amborin]

8. Most invested in Hedge funds, mortgage-backed securities, etc.

so i think if Obama were worried about workers' public pension funds, he wouldn't have re-hired Summers, Geithner, etc........

remember when Obama chose Ratner to oversee the auto industry transformation?

<http://topics.nytimes.com/top/reference/timestopics/people/r/steven_rattner/index.html?scp=7&sq=public%20pension%20funds&st=cse>

[Thickasabrick]

9. K&R.....really good theory. nt