Obama's health-care plan: New New Deal, or his 'Waterloo'?

IS HEALTH-CARE reform going to be President Obama's 21st Century reincarnation of the New Deal, or will it be - in the words of a GOP opponent - the new president's "Waterloo"?

Last night, Obama focused on his health-care plan during an hour-long news conference. In measured, almost somber tones, the president chose not to break any major news on the sweeping overhaul, but seemed eager to simply better explain the plan to a suddenly wavering public.

"If you already have health insurance, the reform we're proposing will provide you with more security and more stability," Obama said last night, addressing skepticism about the plan from Americans who already have coverage. He added: "It will prevent insurance companies from dropping your coverage if you get too sick."

His broader message was that doing nothing will cost more to the economy and individuals than the price tag for a reform package. "We will pass reform that lowers cost, promotes choice and provides coverage that every American can count on," he said. "And we will do it this year."

So, what is really going on with health-care reform? Here are some questions and answers:

Q. So, why is Obama pushing health-care reform this year, anyway? Didn't he say that his No. 1 priority in his initial months would be fixing the economy?

A. Yes, but the Obama administration has a ready answer for that, which is that health care is a component of the American economy, and a very significant one at that. The $2 trillion that Americans will spend on health care this year is about 16 percent of our gross national product. It's also an extremely inefficient sector - studies have shown that Americans spend double or triple on health care than what those in other industrialized countries pay.

That said, Obama and other proponents have reasons to push a reform program in 2009 that have less to do with the economy and more to do with politics. The closer we remain to last fall's huge Democratic victory - and Obama's high personal-approval ratings - and the farther away from the 2010 mid-term election, the more likely the Dems can get a bill passed.

Q. Isn't health-care reform unpopular with the public?