Subject: I-Team investigates pharmacy bill - Atlanta News, Weather, Traffic, and Sports |
FOX 5
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John Bogle is a grand old man of Wall Street. This is what he thinks about the current market environment. (See 1
below.)
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A little Nebraskan humor:
You can never underestimate the inventiveness of American Farm Boys:
At a high school in Nebraska, a group of male students played a prank.
They let three goats loose inside the school.
But before turning them loose, they painted numbers on the sides of the goats: 1, 2
and 4.
School Administrators spent most of the day looking for No. 3.
And you thought there was nothing to do in Nebraska!
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When Republicans sought to have 'Obamascare's' impact on individuals
postponed, as he was doing with just abut every liberal leaning voting sector, he
refused and engaged in harsh attacks on Republicans Now he is doing it.
Why? Because he is frightened about the voter backlash that is occurring.
So what was once good for 'gander unions' but not for' goose citizens' now appears justifiable even to the point of
goosing his own treasured legislation.. (See 2 below.)
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Dick
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1) Bogle: Stocks May Drop 25 Percent, But Still
Make Sense Long Term
Stocks remain attractive as a long-term investment, though they may plunge as much as 25 percent as the
Federal Reserve normalizes its accommodative monetary policy, says John C. "Jack" Bogle, senior chairman
and founder of The Vanguard Group.
Investors would do better diversifying their portfolios rather than trying to time the market, he tells CNBC. The stock markets moves in "fits and starts," and fundamentals such as earnings remain solid, Bogle notes.
"What does not move in fits and starts is what the stock market enables you to do, which is own corporate
America."
Stock market returns should shadow nominal GNP, which is set to grow approximately 5 percent annually,
plus dividends, which should total approximately 2 percent, he maintains.
That gives you a long-term annual return of about 7 percent, which means you would double your money in
10 years, Bogle predicts.
Instead of exiting equities, investors should own some bonds as "ballast" against turmoil in stocks, he suggests.
The Standard & Poor's 500 Index traded at 1,874.57 Tuesday morning.
Many experts anticipate continued gains for stocks.
"The equity market is going to make continued progress in a two-steps-forward, one-step-back kind of
progression,” Jim Russell, senior equity strategist for U.S. Bank Wealth Management, tells Bloomberg. "We're still evaluating how much of the economic weakness is weather related and how much of it is
legitimate. We're hopeful that much of the weakness we've seen is weather related and that we'll get a
snap back in the second quarter."
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2)
ObamaCare's Secret Mandate
Exemption
HHS quietly repeals the individual purchase rule
for two more years.
ObamaCare's implementers continue to roam the battlefield and shoot their own wounded, and the
latest casualty is the core of the Affordable Care Act—the individual mandate.
To wit, last week the Administration quietly excused millions of people from the requirement to
purchase health insurance or else pay a tax penalty. This latest political reconstruction has received
zero media notice, and the Health and Human Services Department didn't think the details were worth
discussing in a conference call, press materials or fact sheet. Instead, the mandate suspension was
buried in an unrelated rule that was meant to preserve some health plans that don't comply with
ObamaCare benefit and redistribution mandates. Our sources only noticed the change this week.
That seven-page
technical bulletin includes a paragraph and footnote that casually mention that a rule
in a separate December 2013 bulletin would be extended for two more years, until 2016. Lo and
behold, it turns out this second rule, which was supposed to last for only a year, allows Americans
whose coverage was cancelled to opt out of the mandate altogether.
In 2013, HHS decided that ObamaCare's wave of policy terminations qualified as a "hardship" that
entitled people to a special type of coverage designed for people under age 30 or a mandate
exemption. HHS originally defined and reserved hardship exemptions for the truly down and out such
as battered women, the evicted and bankrupts.
But amid the post-rollout political backlash, last week
the agency created a new category: Now all you need
to do is fill out a form attesting that your plan was
cancelled and that you "believe that the plan options
available in the [ObamaCare] Marketplace in your area
are more expensive than your cancelled health
insurance policy" or "you consider other available
policies unaffordable."
This lax standard—no formula or hard test beyond a person's belief—at least ostensibly requires proof
such as an insurer termination notice. But people can also qualify for hardships for the unspecified
nonreason that "you experienced another hardship in obtaining health insurance," which only
requires "documentation if possible." And yet another waiver is available to those who say they are
merely unable to afford coverage, regardless of their prior insurance. In a word, these shifting legal
benchmarks offer an exemption to everyone who conceivably wants one.
Keep in mind that the White House argued at the Supreme Court that the individual mandate to buy
insurance was indispensable to the law's success, and President Obama continues to say he'd veto
the bipartisan bills that would delay or repeal it. So why are
ObamaCare liberals silently gutting their
own creation now?
The answers are the implementation fiasco and politics. HHS revealed Tuesday that only 940,000
people signed up for an ObamaCare plan in February, bringing the total to about 4.2 million, well below
the original 5.7 million projection. The predicted "surge" of young beneficiaries isn't materializing even
as the end-of-March deadline approaches, and enrollment decelerated in February.
Meanwhile, a McKinsey & Company survey reports that a mere 27% of people joining the exchanges
were previously uninsured through February. The survey also found that about half of people who
shopped for a plan but did not enroll said premiums were too expensive, even though 80% of this
group qualify for subsidies. Some substantial share of the people ObamaCare is supposed to help
say it is a bad financial value. You might even call it a hardship.
HHS is also trying to pre-empt the inevitable political blowback from the nasty 2015 tax surprise of
fining the uninsured for being uninsured, which could help reopen ObamaCare if voters elect a
Republican Senate this November. Keeping its mandate waiver secret for now is an attempt get past
November and in the meantime sign up as many people as possible for government-subsidized
health care. Our sources in the insurance industry are worried the regulatory loophole sets a mandate
non-enforcement precedent, and they're probably right. The longer it is not enforced, the less likely any President will enforce it.
The larger point is that there have been so many unilateral executive waivers and delays that
ObamaCare must be unrecognizable to its drafters, to the extent they ever knew what the law
contained.
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