And We're Dealin!

Getting back to the actual health care debate itself rather than the circus surrounding it, the big story over at HuffPo right now is a memo obtained showing exactly what the deal was between the White House and various industry groups:

The memo, which according to a knowledgeable health care lobbyist was prepared by a person directly involved in the negotiations, lists exactly what the White House gave up, and what it got in return.

It says the White House agreed to oppose any congressional efforts to use the government's leverage to bargain for lower drug prices or import drugs from Canada -- and also agreed not to pursue Medicare rebates or shift some drugs from Medicare Part B to Medicare Part D, which would cost Big Pharma billions in reduced reimbursements.

In exchange, the Pharmaceutical Researchers and Manufacturers Association (PhRMA) agreed to cut $80 billion in projected costs to taxpayers and senior citizens over ten years. Or, as the memo says: "Commitment of up to $80 billion, but not more than $80 billion."

Ahh, the cold, harsh realities of business. You don't think the people run this country, do you? Obama was smart enough to at least figure out he had to deal with the industry groups. But there's no way the Republicans were ever going to sign on to health care, ever. They never wanted reform because then Obama would be able to take credit for something. Can't have that.

So now what? The deal seems like a moot point anyway. Republicans will make sure there is no health care bill at all, and they are succeeding handily at doing so. Obama went bowing and scraping before our corporate overlords for...what, exactly? Both sides can legitimately criticize this deal and will do so.

Lose-lose for Obama and the American people. Smart, too...if Obamacare folds, the drug companies get to keep the status quo where they make billions, and if Obamacare ever passed, they'd stand to make even more money by giving up some cash up front to get 50 million new potential customers. Drug companies made a deal that any mob boss would be proud of. Can't blame them.