The Problem with Modicare
The Union Budget is a big financial event in India. Each year, the finance minister of the nation sets the national priorities and also the plan to fund them. The 2018 budget came in as a shocker for most people in India. The middle class was hoping for a significant tax reduction. However, there was no reduction in taxes. Instead, the taxes were increased to some extent.
On the other hand, India has announced the most ambitious health care scheme known to the world. It is colloquially being called Modicare because it is being introduced under the leadership of Prime Minister Narendra Modi. This scheme is likely to provide insurance to 100 million families, i.e., about 500 million individuals. The insurance provided will be to the tune of Rs.5 lakhs per family.
Critics are not very upbeat about Modicare. The scheme has started facing criticisms from various people even before any changes have been implemented. In this article, we will understand the various shortcomings of the proposed Modicare scheme.
To sum it up, Modicare is a political program. The sole objective of the program is to garner political benefits for the ruling party.
The program is neither morally correct nor economically feasible. It is a forceful redistribution of wealth from the middle class to the poor. The middle class now have to pay their own insurance premium as well as that of the people below poverty line.
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