Donald Trump Cuts Subsidies.

On October 12th Donald Trump did something shocking. He signed a bill ending cost-sharing subsidies.

Now if you're like me, you might be wondering, what are cost-sharing subsidies? What's a subsidy, and what does this mean?

Briefly explained, subsidies are money the government gives an industry or business in order to keep prices low and competitive. For example, farmers get subsidies to keep the price of goods low.

Subsidies aren't bad things. They aren't handouts given to lazy people, they just make things more affordable; especially health care.

According to an article written by The New York Time "The subsidies, known as cost-sharing reduction payments, go to insurance companies to offset the cost of reducing out-of-pocket expenses like deductibles and co-payments for low-income customers. Under the Affordable Care Act, insurers will still have to help those customers, but without the help of Washington, they say, they will increase premiums. And with their profits squeezed, they could abandon the marketplaces." (Kaplan and Pear) A premium is a monthly cost you have to pay for insurance, and a deductible is the out of pocket price you pay every time you go to the doctor.

Basically, insurers have to raise monthly cost to keep deductibles low, but the problem is deductibles will still rise because the subsidy is being taken away.

Many Trump supporters, who opposed Obama complained that deductibles were too high. They liked their insurance, but they couldn't afford to go to the doctor because the out-of-pocket expense was too much. They needed an affordable plan that lowered deductibles and with good plans that actually covered what they needed.

In an effort to sabotage Obamacare, Trump basically slapped his voters in the face, by doing the opposite of what they actually wanted. This action is going to hurt millions of low-income people. When I say low-in-come I'm not talking about the poor, I'm talking about people who make roughly 32,000-62,000 a year. That's your teacher, your mom, your friend, and you. This bill is an attack on the lower middle-class.