Robert Pollin, PhD, a distinguished professor of economics at the University of Massachusetts-Amherst, not only believes a single-payer healthcare system is possible in California, but that it could actually end up saving the state’s citizens and government billions of dollars, according to an op-ed in the Los-Angeles Times.
Dr. Pollin argues that because of the lowered administrative costs and regulated prescription and physician charges, a single-payer system would actually lower the annual cost of healthcare in California from $370 billion a year to $331 billion. He also believes that the $106 billion it would cost to replace private healthcare could be offset by a 2.3 percent gross receipts tax and a 2.3 percent increase on sales tax. However, because of various exemptions provided in his plan, these hikes would not affect most small businesses or be imposed on everyday purchases such as food or housing.
Even with slight tax increases, Dr. Pollin believes the amount saved on healthcare would yield net savings for California families, while providing all residents access to quality healthcare.
More Articles on Finance:
Minnesota nurses complete $2.6M in patient debt relief
California prepares $20M fund to support rural healthcare pending federal cuts
Health IT and RCM sectors saw 59 M&A deals so far in 2017