Wednesday, 3 August 2016

Wonkbook: The surprising upside of Hillary Clinton's biggest failure

By Jeff Guo The Children's Health Insurance Program, better known as CHIP, is a somewhat obscure initiative created nearly 20 years ago to help children get health insurance. Last week, it became an unexpected star at the Democratic National Convention, where speakers name-dropped it repeatedly as an example of Hillary Clinton's efforts to improve children's …
 
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Hillary Clinton, presumptive 2016 Democratic presidential nominee, speaks during a campaign event at Northern Virginia Community College in Annandale, Virginia, U.S., on Thursday, July 14, 2016. Clinton on Wednesday accused Donald Trump of turning the party of Abraham Lincoln into a divisive entity at a moment when the U.S. should be working toward building a renewed sense of unity. Photographer: Pete Marovich/Bloomberg

Hillary Clinton. (Pete Marovich/Bloomberg)

By Jeff Guo

The Children's Health Insurance Program, better known as CHIP, is a somewhat obscure initiative created nearly 20 years ago to help children get health insurance. Last week, it became an unexpected star at the Democratic National Convention, where speakers name-dropped it repeatedly as an example of Hillary Clinton's efforts to improve children's lives.

In their remarks, Tim Kaine and Howard Dean and Bill Clinton and Barack Obama all gave Clinton credit for helping CHIP become reality. In her own speech, Clinton touted her work to "help create the Children's Health Insurance Program that covers 8 million kids in our country."

On Twitter, people took note of the unusual wonkishness on display — this was "not a common nom[ination] speech topic," pointed out MSNBC's Ari Melber. But the topic was perfectly on-brand for Clinton, who has sought to portray herself as a nitty-gritty politician who "gets things done."

CHIP is an important item on Clinton's brag list because it reframes her greatest disappointment as first lady. "Hillarycare," her 1993 effort to secure universal health care for all Americans, was a high-profile failure. But out of the ashes of that fracas came this smaller victory: a plan for the government to help children without health insurance.

Although there are questions about Clinton's contributions to CHIP, there is no doubt that the program itself has been seen as a tremendous, bipartisan success. Not only did it accomplish its goal of extending health insurance to millions of children, but it demonstrated a policy idea that would later play a key role in President Obama's Affordable Care Act.

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Now, research says that Americans got an even better deal with CHIP than they thought. Gareth Olds, an economist at Harvard Business School, says that CHIP has had a fascinating side effect on the broader economy. By giving families peace of mind, by assuring they could afford health care for their children no matter what, CHIP encouraged more people to start their own businesses, Olds says.

This, along with other recent studies, motivates an argument we may soon hear more and more from the left — the claim that strong welfare policies not only alleviate poverty but boost economic growth.

Read the rest on Wonkblog.


 

Chart of the day

New York police commissioner Bill Bratton will leave his post next month after an influential and divisive career in law enforcement. Max Ehrenfreund has more.

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