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The man who used to walk on water
AN AMERICAN president’s most important power is not the veto pen or the ability to launch missiles. It is the bully pulpit. When a president speaks, the world listens. That is why Barack Obama’s credibility matters. If people do not believe what he says, his power to shape events withers. And recent events have seriously shaken people’s belief in Mr Obama. At home, the chaos of his health reform has made it harder for him to get anything else done. Abroad, he is seen as weak and disengaged, to the frustration of America’s allies.
Not all the barbs aimed at Mr Obama are fair. Our special report this week on American foreign policy notes that he inherited two miserable wars. He began his first term during the worst recession in 80 years. And the Republicans who shut down parts of the federal government last month and flirted recklessly with default bear much of the blame for Washington’s disarray. But the excuse that it is all someone else’s fault is wearing thin. Under Mr Obama, America seems rudderless and its power is being squandered. A more engaged president would handle the Republicans—and the rest of the world—with more skill.
An exchange you can believe in
The debacle of Obamacare has gravely weakened the president (see article). In the days before October 1st, when the online health-insurance exchange opened, he seemed blithely unaware that anything was amiss. Using it would be “real simpleâ€, he told voters in Maryland on September 26th; it would work the “same way you shop for a TV on Amazonâ€. Alas, it did not. Millions tried to log on; few succeeded. The website was never properly tested, it transpires. Although this was Mr Obama’s most important domestic reform, no one was really in charge. Crucial specifications were changed at the last moment. Contractors warned that the website was not ready, but the message never reached the Oval Office. Big government IT projects often go awry, but rarely as spectacularly as this.
The Economist supported Obamacare when it passed Congress in 2010. We worried that the law was too complex (see article) and did too little to curb medical inflation, but it extended health insurance to the millions of Americans who lack it. The basic idea is sound: everyone must have insurance or pay a penalty. The cash-strapped receive big subsidies, and insurers are barred from charging more to those who are already sick. A more modest version of this reform works quite well in Massachusetts. A man with little interest in details and a disdain for business, Mr Obama tried to impose a gigantic change on the whole country all at once and far too casually.
The longer it takes to fix the website, the greater the chance that Obamacare will fail. Insurers have set their premiums on the assumption that lots of young, healthy people would be compelled to buy their policies. But if it takes dozens of attempts to sign up, the people who do so will be disproportionately the sick and desperate. Insurers could be stuck with a far more expensive pool of customers than they were expecting, and could have no choice but to raise prices next year. That would make Obamacare even less attractive to the young “invincibles†it needs to stay afloat.
To make matters worse, this sorry saga has caused American voters to doubt Mr Obama’s honesty. Time after time, when selling his reform, he told voters that if they liked their health insurance, they could “keep that insurance. Period. End of story.†Policy wonks knew this was untrue. Mr Obama’s number-crunchers quietly predicted that up to two-thirds of people with individual policies would be forced to change them, since the law would make many bare-bones plans illegal. But ordinary Americans took their president at his word; many were furious to learn last month that their old policies would be cancelled.
AN AMERICAN president’s most important power is not the veto pen or the ability to launch missiles. It is the bully pulpit. When a president speaks, the world listens. That is why Barack Obama’s credibility matters. If people do not believe what he says, his power to shape events withers. And recent events have seriously shaken people’s belief in Mr Obama. At home, the chaos of his health reform has made it harder for him to get anything else done. Abroad, he is seen as weak and disengaged, to the frustration of America’s allies.
Not all the barbs aimed at Mr Obama are fair. Our special report this week on American foreign policy notes that he inherited two miserable wars. He began his first term during the worst recession in 80 years. And the Republicans who shut down parts of the federal government last month and flirted recklessly with default bear much of the blame for Washington’s disarray. But the excuse that it is all someone else’s fault is wearing thin. Under Mr Obama, America seems rudderless and its power is being squandered. A more engaged president would handle the Republicans—and the rest of the world—with more skill.
An exchange you can believe in
The debacle of Obamacare has gravely weakened the president (see article). In the days before October 1st, when the online health-insurance exchange opened, he seemed blithely unaware that anything was amiss. Using it would be “real simpleâ€, he told voters in Maryland on September 26th; it would work the “same way you shop for a TV on Amazonâ€. Alas, it did not. Millions tried to log on; few succeeded. The website was never properly tested, it transpires. Although this was Mr Obama’s most important domestic reform, no one was really in charge. Crucial specifications were changed at the last moment. Contractors warned that the website was not ready, but the message never reached the Oval Office. Big government IT projects often go awry, but rarely as spectacularly as this.
The Economist supported Obamacare when it passed Congress in 2010. We worried that the law was too complex (see article) and did too little to curb medical inflation, but it extended health insurance to the millions of Americans who lack it. The basic idea is sound: everyone must have insurance or pay a penalty. The cash-strapped receive big subsidies, and insurers are barred from charging more to those who are already sick. A more modest version of this reform works quite well in Massachusetts. A man with little interest in details and a disdain for business, Mr Obama tried to impose a gigantic change on the whole country all at once and far too casually.
The longer it takes to fix the website, the greater the chance that Obamacare will fail. Insurers have set their premiums on the assumption that lots of young, healthy people would be compelled to buy their policies. But if it takes dozens of attempts to sign up, the people who do so will be disproportionately the sick and desperate. Insurers could be stuck with a far more expensive pool of customers than they were expecting, and could have no choice but to raise prices next year. That would make Obamacare even less attractive to the young “invincibles†it needs to stay afloat.
To make matters worse, this sorry saga has caused American voters to doubt Mr Obama’s honesty. Time after time, when selling his reform, he told voters that if they liked their health insurance, they could “keep that insurance. Period. End of story.†Policy wonks knew this was untrue. Mr Obama’s number-crunchers quietly predicted that up to two-thirds of people with individual policies would be forced to change them, since the law would make many bare-bones plans illegal. But ordinary Americans took their president at his word; many were furious to learn last month that their old policies would be cancelled.
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