The American reports the Obama Administration argues that healthcare reform will lower the defict by cutting costs:

The administration proposes three main reforms to reduce healthcare costs: First, increased use of information technology, particularly electronic medical records; second, disease management, the intensive treatment and follow-up on chronic diseases such as diabetes; and third, comparative effectiveness research, which is cost-benefit analysis to find the best treatment for each dollar of cost.

But here’s the problem: the CBO, the official scorekeeper for any health reform proposed in Congress, has stated none of the reforms proposed by the administration is likely to significantly cut healthcare costs. In fact, according to CBO, these reforms could even increase costs.

The key to lowering costs, [CBO director Doug] Elmendorf stressed, is changing incentives. His testimony used the word “incentives” 33 times, by my count. Both the income and payroll tax exclusion for employer-sponsored healthcare and the third-party payer structure of most health coverage encourage patients to demand services and doctors to provide them even if the value of those services does not exceed their cost. The result: high costs and wasteful treatment.

On another key Obama initiative the reports:

Last week, the Congressional Budget Office issued a cost estimate for H.R. 2454, the American Clean Energy and Security Act of 2009. The bill would establish not one, but two “cap-and-trade” programs designed to limit the release of undesirable gasses into the atmosphere.

“Cap-and-trade” is when the government limits (”caps”) the emissions of greenhouse gasses and hydrofluorocarbons then issues tradeable credits for emissions. The idea is to force industries to find the most efficient ways they can to reduce these gasses and improve the environment.

But cap-and-trade don’t come cheap. The estimated cost of the bill is about $12,000 per U.S. family. It’s the most costly bill in the current Congress, just like a similar bill was in the last Congress.

The Obama regime fires those who don’t play ball or come to different conclusions than the administration.  Just ask the Director of Americorps.  The Director of the Congressional Budget Office is hired by Speaker Pelosi and Senator Reid…but, since they do whatever Obama says, look for them to fire CBO Director Elmendorf soon… It’s truly a shame, as Elmsdorf is simply speaking the obvious truth. We need more like him in government, not less.