President Obama is now stating that ObamaCare will reduce premiums. This is as good a time as any to review past predictions to see how much faith we really should have in that prediction.

The other day, President Obama said his health care proposal would reduce premiums:

Now, so let me talk about the third thing, which is my proposal would bring down the cost of health care for families, for businesses, and for the federal government. So Americans buying comparable coverage to what they have today -- I already said this -- would see premiums fall by 14 to 20 percent -- that's not my numbers, that's what the nonpartisan Congressional Budget Office says -- for Americans who get their insurance through the workplace. How many people are getting insurance through their jobs right now? Raise your hands. All right. Well, a lot of those folks, your employer it's estimated would see premiums fall by as much as 3,000 percent [sic], which means they could give you a raise.

Aside from the fact that a 3000% drop in premiums means that insurance companies would actually be paying to cover customers, it sure sounds great that we can institute ObamaCare, have universal health care, and actually get raises. Wow! We pay less for health care, get more health care, and even get raises! Don't you love free lunches?

Of course, maybe we should look at past predictions by the Obama Administration on matters of economics.

Just 10 days before taking office, Obama's top economic advisers released a report predicting unemployment would remain at 8 percent of below through this year if an economic stimulus plan won congressional approval.

Yet the Bureau of Labor Statistics reports that unemployment in May [2009] rose to 9.4 percent.

So we spent a $787 billion "stimulus" to supposedly keep unemployment below 8%--and unemployment then proceeded to ignore the stimulus and ultimately march beyond 10%.

I understand the adminisration's arguments that they didn't realize the magnitude of the economic problems facing the country. But that's the problem--they don't know.
The last time the administration ran out and tried to press the country to spend nearly a trillion dollars, they didn't know all the facts. Once again the president is out there promising the moon--lower premiums, universal coverage, and pay raises for employees.

And we're supposed to believe this? They spent the last trillion without knowing all the facts but we're supposed to believe that this time they do know all the fact? Or understand them?

This administration does not have a track record that would lead us to believe they know what they're talking about when it comes to economics. We should treat their latest rhetoric in favor of their health insurance reform plan with the skepticism it deserves based on their past failures to demonstrate any accuracy on economic matters.