They had a new talking point: President Obama's hated health care reform law would cost more than 2 million American jobs. "Obamacare To Print Even More Pink Slips," read the subject of the Senate Republican conference email blasted out after the report's release. "Obamacare will cost our nation about 2.5 million jobs," tweeted Sen. Lindsey GrahamThe CBO report can be found here. As Dylan succinctly noted:
Those lost hours will "almost entirely" be the result of people choosing to work fewer hours because of Obamacare -- not because they lost their jobs or can't find a full-time job.If a Republican economist blogger has stepped up to the plate and been honest about what the CBO really said – I’d be impressed. I just checked the blogs of Greg Mankiw and John Taylor and nothing yet. But then this is still early in the discussion. To be fair - the CBO did talk about the substitution effect from higher marginal tax rate, which is something a conservative economist might want to emphasize. But the CBO discussion went further than that in discussing the multitude of channels as to how the ACA will affect labor markets including the income effect from better health care access. Don't trust the political spin and do read the CBO's interesting discussion.