Obama administration health care proposal

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The current Obama administration health care proposal is an evolution of earlier ideas.
Several had been proposed by President Richard Nixon, although Nixon emphasized that participation would be voluntary. Others, including the proposed mandates requiring everyone to purchase private insurance, come from the Clinton health care plan of 1993.
President Obama had been opposed to requirements that adults buy insurance, but in July 2009 he stated that he was "now in favor of some sort of individual mandate as long as there's a hardship exemption." Though originally advocating a publicly-funded health care program, in August 2009 Obama administration officials announced they would support a health insurance cooperative in response to deep political unrest amongst Congressional Republicans and Democrats.
Proposal arguments
The White House stated that: "What President Obama is proposing is not a tax but a requirement to comply with the law." President Obama proposes a penalty, not for those who are financially incapable but for those financially capable people who would still refuse to buy health insurance even though they can afford it "and who expect the rest of us to pick up the tab for their care."
The White House argues that the current health care system costs insured American taxpayers a "hidden tax" of $1000 annually.
The Pacific Research Institute argues that the uninsured subsidize the insured, do not drive up the cost of health care, and use fewer services than the insured. A 2004 editorial in USA Today asserted that United States Department of Health and Human Services (HHS) data show the uninsured are "billed unfairly" for services at rates far higher—on average 305% at urban hospitals in California—than are the insured; USA Today concluded that "millions of are forced to subsidize insured patients." The Cato Institute argues that without the uninsured, "The insured would pay more, not less."
The White House also assured voters: "Fees that the proposed plan would impose upon insurance companies, drugmakers, and devicemakers would not be passed on to consumers."
Affordable insurance for lower income Americans
The Senate is currently deliberating over proposals to allow individuals and families who earn less than particular income levels (approximately $40000 annually for individuals, $85000 for 4-person families) to receive health care insurance at reduced, federally-subsidized costs.

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