Thursday, August 29, 2019

Do not give subsidies based on family income

The government prefers to give subsidies based on family income. The problem with this approach is the cutoff point. Based on their convoluted system, some people in the borderline are left out or are given a smaller subsidy than others in similar circumstances.

Another problem with this approach is the trouble taken to determine the amount of subsidy. The facts for each family situation has to be obtained. Some families who felt unfairly treated complained and the staff have to explain the calculation.

Furthermore, the classification of the entitlement vary from different types of benefits.

What is a better approach?
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