While hardworking Americans are being squeezed all around, the President’s signature health care law isn’t just causing harm to the health insurance market. As Forbes columnist Avik Roy says, Obamacare is hurting the job market in three main ways:
1) Obamacare is a set of massive tax hikes, including a tax increase on investment income, which affects all businesses that file their taxes as individuals. Businesses hit with this tax will have to make up for their losses, which could lead to hiring fewer workers, charging more for their goods or services, or doing both.
2) Obamacare’s employer mandate makes hiring workers even more costly and strongly dis-incentivizes small businesses from hiring above the 50-full-time equivalent employee threshold
3) Obamacare subsidies entice people to stop working so they can receive more money for health care. The nonpartisan CBO estimated earlier this year that Obamacare will lead to a loss of 2.5 million full-time jobs by 2024.
The solution? Repeal Obamacare’s harmful mandates and taxes and replace the failed law with a consumer-driven solution that uses market forces to bring down costs and increase coverage. That’s what Republicans in the House have fought and will continue to fight for.