Page 151 - TrumpsEconEra_Flat

Trump’s Economic Era

Like a Ponzi scheme, Social Security relies on a
constant influx of new people. Social Security is the
opposite of how private insurance typically works.
Insurance companies typically pay claims from the
return on their principle, while preserving the principle.

Medicare

Medicare is a four-part program that provides
health insurance for people sixty-five years and older
and some permanently disabled young people. Med-
icare has four parts: Part A is Hospital Insurance, Part
B is Medical Insurance, and Part D covers prescription
drugs. Medicare part C is known as Medicare
Advantage, which is made up of private plans run
through Medicare that, by law, must at least be
“equivalent” to the regular Part A and B. The Bureau of
Labor Statistics estimates that by 2030, only 2.4
workers will support one elderly person. With more
than 1.5 million baby boomers enrolling in Medicare
annually, the program’s future is one of the most
important economic issues.

Medicaid

The Trump Administration plans to reduce state
funds for Medicaid, but he wants to give states more
control over the $500 billion program that provides
insurance to 70 million Americans by changing the
program into a block grant spending program. His
agenda calls for changing Medicaid from an open-
ended entitlement program where the federal

-150-