NCPA - National Center for Policy Analysis

Obamacare's Perverse Job Creation Program

July 29, 2016

Senior Fellow John R. Graham writes in NCPA's Health blog:

The latest jobs report gave the stock market a boost and injected some optimism into public sentiment about our economic prospects. Unfortunately there's a problem with the current employment situation that few understand: Obamacare has likely led to too many jobs in health care, drawing labor from more productive functions.

Dan Diamond of Politico reports jobs in health care have grown 23 percent since 2005, while jobs overall have grown only 6 percent. Much of this was driven by the collapse of non-health jobs in 2008-2010, while health jobs remained undisturbed. As the economy recovered, Obamacare kept layering jobs onto health care that did not actually improve health care.

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