Within the conceptual framework of this research, we will elaborate on the background of proposition 78 and analyze various aspects and controversial issues associated with this proposition. This proposition has become a subject of furious debate between different governmental and economic experts, as well as ordinary citizens of California and to some extent other American states.
The objectives of this proposition include but are not limited to creating new discount drug prescription initiative. It will be administered by Health Services Department in the state of California; enabling those citizens of California who live below poverty level as well as those that have low income to obtain prescription drugs (not all the drugs available out there, only limited group of prescribed medicine) at somewhat decreased prices; negotiating with the pharmacies that decided to participate in the program in order to obtain discounts that would be used in order to satisfy the conditions of this program and fulfill the needs of low income Californians.
While the Proposition outlined theoretically enables low and moderate-income residents of the state of California to improve their health conditions by allowing them to buy prescribed drugs at a reduced price, there are certain drawbacks associated with Proposition 78 as well. Some of the potential participants suggest that imposing $ 15 annual application fee is in itself quite contradictory to the overall objective of helping those in need. While the sum appears to be quite small, the idea is that a program aimed at easing someone’s life should not start with a charge.
Moreover, many Californians oppose this program because they believe that the potential rebates achieved within its scope might be misallocated by the government and pharmacy representatives alike. Some experts also claim that pharmacies can gain money from these ‘deal’ due to the increase in the sales volumes associated with this ‘helping initiative.’ Moreover, the program might be terminated under certain conditions, and potential applicants believe that this issue is not regulated enough within the program itself.
Overall, it appears that proposition 78 is a great and altruistic initiative proposed by those who want to help people with a moderate or low level of income. Those people cannot spend that much money on health, prescribed drugs, and health-related services in general; for some of them, this program could be a life-savior. However, there is a lot of well-grounded skepticism associated with this Proposition as well – ordinary people and qualified experts alike do not feel that the parties involved do not plan to make some profit out of it.