This is a rush transcript from "Your World," May 1, 2014. This copy may not be in its final form and may be updated.
NEIL CAVUTO, HOST: Do you remember that? "Call Me" by Blondie. I'm the only one in this studio who remembers it.
CAVUTO: Well, it was at the top of the Billboard charts. Farrah Fawcett was among the year's hottest stars. "Dallas" was number one, as J.R. Ewing was, well, pretty much captivating the nation, so too Ronald Reagan, who later that year would capture the White House. He would later be name TIME magazine's man of the year, all this as the Rubik's Cube burst onto the scene.
And, yes, I was just graduating from college. I was 40 years old. No, I'm kidding.
CAVUTO: The year was 1980, and not since that year, not since 1980, have we seen health care costs rising this fast.
Welcome, everybody. I'm Neil Cavuto.
And so much for this.
(BEGIN VIDEO CLIP)
PRESIDENT BARACK OBAMA: Since the law took effect, health care spending has risen more slowly than at any time in the past 50 years.
(END VIDEO CLIP)
CAVUTO: Well, not quite, because we got a new report that finds that health care spending spiked nearly 10 percent in the first three months of the year, rising at its fastest clip since 1980 because of the health care law. Add to the House Republicans saying that a third of enrollees have yet to pay.
Now, we have got to emphasize here that Democrats are quibbling with that. The bottom line is the numbers are not looking good.
But Texas Democratic Congressman Henry Cuellar here to say, don't be too quick to judge.
Congressman, you say what to this? Because we were going through all these hoops and all these controversies with who is a real enrollee or not, but the upside would be that costs would come down. They have not come down. What happened?
REP. HENRY CUELLAR, D-TEXAS: Well, first of all, I think if you look at the health care costs, they actually have slowed down, number one.
CAVUTO: Slowed down from -- wait a minute. They're going at 9.9 percent clip. That's slowed down?
CUELLAR: Well, there's two different things.
One is, the health care costs have gone up, but if you look at the overall picture, there's more health care spending, because if you added eight million -- and let's see what the final number is -- let the numbers be whatever they are. Of course, if you add more people that have health care and have private insurance and are going to see doctors and buy medical products, of course spending is going to go up.
If you look at The Wall Street Journal, The Wall Street Journal said the last quarter, our economy would have contracted, would have shrunk by almost 1 percent, but because of health care spending, we actually grew a little bit on that.
CAVUTO: Well, when the government gets involved in something, I don't if that is -- that's at artificial stimulant here. But I understand what you're saying.
But it worries me, something else you're saying, Congressman, that the administration was saying that in short order, we will get that number of enrollees, whether they're real or not or net paying or not, up to 25 million, maybe 30 million. So, by your argument here, this is going to get even more out of control, the spending part.
CUELLAR: Well, again, there's two things.
If you add eight million or whatever the number might be at the end -- let the numbers be whatever they are -- you're going to have more people with private insurance, not government spending, private insurance, going up to doctors and seeing the doctor for primary care, or health care, whatever the case might be.
Of course, if you add more people, you are going to have more spending.
CAVUTO: Yes, but if someone were to explain that to me when this was being debated, I think a lot of Americans would have said, I'm not so sure about this thing.
But this was billed on the notion that average premiums, the costs would go down $2,000 to $2,500 for every family, that everyone would be covered. And now it turns out that, in the end, 30 million will still not be covered.
I'm getting a sense that the same argument for keeping your doctor, you can't keep your doctor, this was built on promises that aren't panning out, Congressman.
CUELLAR: Well, again, it's -- all I can tell you is what I saw in Texas before the health care law.
Before the health care law, what I saw was that 10 years before that, we had 64 percent of the small businesses in Texas that had health insurance. Right when the health care law got passed, that had shrunk down to 32, 33 percent.
CAVUTO: But you just mentioned -- sir, you just mentioned Texas.