A former director at the Department of Health and Human Services, Jay Angoff, who helped to craft the regulations in Obamacare is going into the private sector. In his new job, he will be suing insurers who don’t comply with the regulations he helped to create. Isn’t this country just great?
Is it relevant that the man who helped craft Obamacare’s regulations on insurers will now make lots of money by suing insurers based on those regulations? …
Think about the incentives at play here: If you are a lawyer working for the government, and you shape the laws in such a way as to make lawsuits easier, you are then making yourself more valuable to a potential future employer.
The trial lawyer’s situation is a subset of the broader dynamic: Any congressional staffer or administration official makes himself more valuable to an industry by increasing government’s role in that industry. You can see this in the Great ObamaCare cashout – the parade ofHHS officials and congressional aides crafting the legislation and then becoming health-care lobbyists or consultants.
It’s happened with Dodd-Frank, too.