Hospitals : Capping Profits

 Based on recommendations of an expert panel, the Delhi government is likely to come out with a policy this week to cap profit margins of city hospitals on drugs and devices. A committee had suggested capping the profit margin for drugs and devices at a maximum of 50 per cent above the manufacturing price or procurement cost, whichever was lower. On this edition of the big picture we anlyse if capping profits of hospitals is a good move and how we make healthcare more affordable?

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