There is nothing that even remotely resembles the supply and demand model regarding Obamacare. When you arbitrarily fix the demand side, disrupt the supply side by making entities pay for the cost for other entities, supply and demand doesn't work. If you think Obamacare is an example of capitalism, then you need to study what capitalism is. Capitalism is defined as follows -<quoted text>
"100% on average" premium increases? I'm thinking supply and demand would prevent this, or is capitalism actually a sham? People struggling to pay premiums right now will undoubtedly drop their insurance completely if it doubles. It's still an unnecessary luxury to many people.
"An economic system characterized by private or corporate ownership of capital goods, by investments that are determined by private decision, and by prices, production, and the distribution of goods that are determined mainly by competition in a free market"
How in the world does Obamacare fit under this definition?
Regarding your last statement, individuals will drop their insurance, but now they will be fined for doing so.
My quotes for next year are in and my insurance premium for employer provided healthcare is now 32.4% more than last year. This came from Blue Cross. United Healthcare was quoted at 36.4% higher than last year. Simply paying the fine for not providing healthcare to my employees results in a 24.8% increase over this past year. However, the fine will increase in 2015. I am opting to continue healthcare for my employees this next year, however, most small businesses won't and a lot will simply go out of business because any business struggling right now will not be able to absorb this added tax. At best, businesses will lower their employee headcount to reduce this tax.
This is no spin or opinion, this is based on hard core data directly from my insurance broker. Right now, small businesses are being assaulted and it is not by big corporations, it is by big government. Many small businesses simply cannot afford to do this and won't be able to.
In my opinion, by the end of 2014, the small business environment will be completely changed from what it is today. The end result will be less competition, higher prices, higher inflation, less employment and vastly more expensive healthcare insurance premiums. Yes, it is good that more Americans will now be covered by insurance. But is the huge cost associated with this worth it?? I guess we will soon see. Currently, it doesn't look good.