The CLASS Act: This Is Confidence-Inspiring? | Michael F. Cannon | Cato Institute: Commentary

The CLASS Act: This Is Confidence-Inspiring? | Michael F. Cannon | Cato Institute: Commentary: 'Congress required CLASS to set each applicant's premiums according to the average applicant's risk of needing such long-term care, rather than her individual risk. But averaged premiums are only attractive to people with above-average risks. Since few people with below-average risks would enroll, the average premium would rise. That would encourage more people with below-average risks not to enroll, and the vicious cycle would continue until the program collapsed.'

'It is a virtue, say supporters, that Obamacare raises taxes (amid high unemployment, no less) to encourage people to buy something they would not voluntarily purchase with their own money.'