Uncategorized

Krugman on Health Insurance and Spain

This week New York Times published two great columns from Nobel prize winning economist Paul Krugman. The first column deals with the impact the recession has had on Spain. Spain has developed a massive amount of debt, despite having budget surpluses in 2007, due to the economic recession. Krugman argues that the change to the euro is largely responsible for this mess. The following is an excerpt:

And there’s not much that Spain’s government can do to make things better. The nation’s core economic problem is that costs and prices have gotten out of line with those in the rest of Europe. If Spain still had its old currency, the peseta, it could remedy that problem quickly through devaluation — by, say, reducing the value of a peseta by 20 percent against other European currencies. But Spain no longer has its own money, which means that it can regain competitiveness only through a slow, grinding process of deflation.

The second column by Krugman concerns the soaring health insurance premiums Californians are facing. These premiums are rising because too many healthy people have decided to not buy health insurance. This dilutes the risk pool and forces insurers to raise premiums. Krugman argues that the only way to stop these health insurance premiums from rising is to pass comprehensive healthcare reform. The following is an excerpt:

But the main point is this: California’s death spiral is a reminder that our health care system is unraveling, and that inaction isn’t an option. Congress and the president need to make reform happen — now.

February 20, 2010

Reporters

Thomas Prieto

Contributing Columnist


Around the Web
  • Miami Herald
  • UM News
  • HurricaneSports

After this past University of Miami football game, coach Mark Richt said the crowd came alive during ...

The attorneys for University of Miami men’s basketball coach Jim Larrañaga expect indictments to be ...

Few could have imagined this scenario coming into Saturday’s University of Miami football game at ho ...

Alex Cora’s success hasn’t surprised Miami Hurricanes baseball coach Jim Morris. Cora, according to ...

A six-pack of Canes notes on a Thursday: • Defensive coordinator Manny Diaz has an interesting theor ...

Univeristy of Miami’s Wynwood Art Gallery holds its annual faculty exhibition featuring thought-prov ...

From a game simulating how whales navigate to a tribute to Ella Fitzgerald, the U showcased some of ...

A new mobile game called Blues and Reds, now available worldwide, aims to help researchers study int ...

A major Lancet Commission report, a three-year project headed by UM’s Professor Felicia Knaul and co ...

With a $6.8 million NIH grant, the UM School of Nursing and Health Studies and FIU Robert Stempel Co ...

Behind a historic performance from senior Olga Strantzali, the University of Miami volleyball team b ...

Thirty years ago, the 1987 Hurricanes achieved perfection. This weekend they are back where it all b ...

As a Hurricane Club member, you are invited to participate in the 25th Annual University of Miami Ha ...

The Miami women's tennis team opened play Friday at the ITA Southeast Regional Championships Pr ...

The Miami soccer team will conclude its 2017 home slate Sunday against Notre Dame and recognize its ...

TMH Twitter Feed
About TMH

The Miami Hurricane is the student newspaper of the University of Miami in Coral Gables, Fla. The newspaper is edited and produced by undergraduate students at UM and is published weekly in print on Tuesdays during the regular academic year.