It appears that the infamous "health care reform bill" will pass and be enacted into law. What I would suggest is that if this does happen, then everyone should check the stock pages and see what the passing of this legislation has on the stock prices of the large insurance and drug companies.
My guess is that their stock will jump considerably, and I say that because you have the government mandating that people buy their products. This is an example of what I call "crony capitalism," or "corporatism."
There are many people in our country who do not understand that nothing truly detrimental to large corporations is ever done in this country. From the election of Barack Obama to this pending health care legislation, you can bet that large companies will come out on top. That is always the case!
This is the reason that I take a dim view of the health care bill. It is a sweetheart deal between large corporations and the Federal Government. Contrary to the beliefs of many, this is NOT socialism in any way shape or form.
It is corporatism and is totally consistent with US government policy under successive presidential administrations.
So lets see just how this plays out on the stock market, and how these legislative changes actually affect the bottom line of large insurance and pharmaceutical companies. I am betting their stock prices will reflect an anticipation of better revenues for these companies, and that will show once and for all that President Obama's policies are good for corporate America, but perhaps not so good for the American consumer!