Listening English lesson

On the Road to Health Reform, Congress Moves a Step Closer

February 26th, 2010 at 09:11am Under Economy Report

The bill narrowly passed by the House includes a public option, a government-run health insurance plan. Transcript of radio broadcast: 12 November 2009

Correction attached

This is the VOA Special English Economics Report.

A major reform of the American system of health care and insurance has moved farther in Congress than ever before. President Obama wants a final bill passed by the end of the year. But a difficult road still lies ahead.

House Speaker Nancy Pelosi after passage of the bill

Saturday night, the House of Representatives passed a bill with an estimated trillion-dollar price over ten years. The president called the vote historic.

BARACK OBAMA: “The Affordable Health Care for America Act is a piece of legislation that will provide stability and security for Americans who have insurance, quality affordable options for those who don’t and bring down the cost of health care for families, business and our government while strengthening the financial health of Medicare.”

But thirty-nine Democrats voted no, and only one Republican, Joseph Cao of Louisiana, voted yes. The bill passed with just two more votes than required. Republicans say the plan would add to the nation’s debt, raise insurance costs and expand government involvement in health care.

Representative Joe Barton is a Republican from Texas.

JOE BARTON: “So, there is a choice. Bigger government, more mandates, more control, less freedom. Or lower costs, more opportunity, more freedom or more choice. I vote for more freedom.”

The bill aims to provide health coverage to thirty-six million Americans. That would raise the nation’s coverage rate to about ninety-six percent.

The most disputed part of the bill is a “public option” for individuals and small businesses. The government would compete with private plans by offering it own insurance — based on payment rates negotiated with providers.

The House bill would raise taxes on high earners to help pay for the plan. It would also cut four hundred billion dollars from health programs for the retired and poor — money that supporters of the bill say is now being wasted.

Most Americans would have to buy insurance or pay a fine; the government would help the needy. All but the smallest businesses would have to offer insurance for their workers or pay a tax. Some small businesses could receive tax credits to help with their costs.

Insurance companies could not deny or cancel coverage for people with pre-existing conditions. And the industry would lose its protection from anti-competitive laws.

Now, Harry Reid, the Democratic majority leader, is working to produce a health care bill in the Senate. Two bills passed by committees must be combined into one. If that passes, then a compromise would be needed with the House version.

But there is strong resistance in the Senate to a public option. Also, the Senate proposals would not require employers to provide coverage, but would offer tax credits to those that do.

And that’s the VOA Special English Economics Report, written by Mario Ritter. I’m Steve Ember.

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Correction: An earlier subheadline over this story overstated opposition to a “public option” by saying the idea had “little support” in the Senate.

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So Where Are the Jobs?

February 20th, 2010 at 09:01am Under Economy Report

Credit remains tight even as the U.S. economy has returned to growth, with government support. The job market took a long time to recover after the last two recessions. Transcript of radio broadcast: 06 November 2009

This is the VOA Special English Economics Report.

America’s economy has started to grow again. Now what about jobs?

The government says productivity jumped in July, August and September. That meant companies produced more with fewer workers. Also, new claims for unemployment aid fell last week to the lowest number since January.

People waiting in line at a job fair in Livonia, Michigan

But eight million jobs have disappeared since the recession began in December of two thousand seven.

Jack Strauss at Saint Louis University in Missouri says recent recoveries have been slow to create jobs.

JACK STRAUSS: “Historically, during our last two recessions in ninety-one and two thousand one it’s taken twenty-three months in ninety-one and about thirty-six months, three years, in our last recession in two thousand one for the United States to regain the jobs lost in the recession.”

Experts debate the reason for these so-called jobless recoveries. But Professor Strauss says a banking crisis is especially hard to recover from, because there is less money to lend to support growth. Banks have been holding bigger safety reserves.

On Wednesday, the Federal Reserve kept its target rate near zero for overnight loans between banks. The central bank said levels are likely to remain “exceptionally low … for an extended period.”

Low interest rates and growing federal deficits have weakened the dollar. But that also lowers the price of American exports, which could help drive job creation. Yet where exactly will future jobs come from?

Investor Warren Buffet says America’s “future prosperity” depends on its rail system. On Tuesday his Berkshire Hathaway company agreed to buy the nation’s second-largest railroad, the Burlington Northern Santa Fe. The forty-four billion dollar deal is Berkshire’s biggest ever.

The Obama administration is also putting money into transportation to speed recovery. A program that paid Americans to buy new vehicles with higher fuel economy lifted sales for automakers. Ford just reported a profit of almost a billion dollars for July through September.

A second government program — a tax credit for first-time home buyers — has helped the housing market. These two programs fueled a lot of the recent economic growth.

But economist Jack Strauss says credit conditions threaten the main engine of job growth since two thousand one — small businesses.

This week, CIT, a lender to small and medium sized businesses, sought bankruptcy protection from its creditors so it can reorganize. Taxpayers will likely lose more than two billion dollars in federal rescue money.

And that’s the VOA Special English Economics Report, available online at voaspecialenglish.com. I’m Mario Ritter.

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