“Obamacare, for whatever reason, favors four blue states against the rest of us.” So South Carolina Senator Lindsey Graham, in a floor speech on Monday, defended the central rationale of his Obamacare replacement, the Graham-Cassidy bill. In that speech and other statements, Graham has cast his bill as a redistribution, taking federal Obamacare money poured into the liberal bastions of California, New York, Massachusetts, and Maryland, and giving some of it it to cash-strapped red states that have been left out, and whose sicker populations have languished. In this telling, Graham is Robin Hood, and his co-sponsors Bill Cassidy of Louisiana, Dean Heller of Nevada, and Ron Johnson of Wisconsin are his merry men.
There are a few problems with this reasoning, though. To start, the states that receive the most money from the Affordable Care Act are the ones that have expanded Medicaid, while the ones left out of the revenue stream have deliberately chosen not to accept federal funds to do so. Additionally, Graham-Cassidy’s “redistribution” isn’t really a redistribution: It would allocate Medicaid expansion and exchange tax-credit funds on an equal per-capita basis to states for covering low-income people, but would do so after greatly restricting eligibility and shrinking the funding base. In essence, Graham-Cassidy would diminish support for the majority of states to provide a reduced version of benefits to states that have refused more generous benefits in the past.
The states with populations that would be hurt most by such a scheme aren’t California and New York, but cash-strapped, smaller, mostly-rural states or Rust Belt states that decided to expand Medicaid, often in order to meet extraordinary statewide health crises. These states are not liberal bastions Graham claims are favored by Obamacare; rather these states—Louisiana, Arkansas, Arizona, Kentucky, Ohio, Indiana, Maine, Iowa, Alaska, New Mexico, North
Source:: The Atlantic – Politics